THE GAZETTE OF INDIA

EXTRAORDINARY

PART –III – SECTION 4

PUBLISHED BY AUTHORITY

SECURITIES AND EXCHANGE BOARD OF INDIA

NOTIFICATION

Mumbai, the 10^th October, 2007

SECURITIES AND EXCHANGE BOARD OF INDIA

(DEPOSITORIES AND PARTICIPANTS) (AMENDMENT) REGULATIONS, 2007

No. 11/LC/GN/2007/4485. In exercise of the powers conferred by section 30 of the Securities and Exchange Board of India Act, 1992 (15 of 1992), the Board hereby makes the following Regulations to further amend the Securities and Exchange Board of India (Depositories and Participants) Regulations, 1996, namely :-

1. These Regulations may be called the Securities and Exchange Board of India (Depositories and Participants) (Amendment) Regulations, 2007.

2. They shall come into force on the date of their publication in the Official Gazette.

3. In the Securities and Exchange Board of India (Depositories and Participants) Regulations, 1996, in regulation 7, after clause (c), the following proviso shall be inserted, namely:-

“Provided that a depository may carry out such activity not incidental to its activities as a depository, as may be assigned to the depository by the Central Government or by a regulator in the financial sector, through the establishment of Strategic Business Unit(s) specific to each activity with the prior approval of the Board and subject to such conditions as may be prescribed by the Board, including transfer of such activity to a separate company within such time as may be specified by the Board, having regard to the matters which are relevant to the efficient and orderly function of the Depository as mentioned in regulation 13.

Explanation : For the purposes of this clause, a Strategic Business Unit shall be an organizational unit of a company with its own mission, objectives and business strategy that is given the responsibility to serve the particular demands of one business area with appropriate technological, financial and other segregations.”

M. DAMODARAN

CHAIRMAN

[ADVT. III/IV/69ZB/2007/Exty.]

Footnotes:

1. The principal regulations, Securities and Exchange Board of India (Depositories and Participants) Regulations, 1996 was published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (ii) on May 16, 1996 vide S.O. No. 345(E).

2. The Securities and Exchange Board of India (Depositories and Participants) Regulations, 1996, were subsequently amended: –

(a) On February 7, 1997 by SEBI (Depositories and Participants) (Amendment) Regulations, 1997 vide S.O. No. 91(E).

(b) On September 5, 1997 by SEBI (Depositories and Participants) (Second Amendment) Regulations, 1997 vide S.O. No. 640(E).

(d) On January 21, 1998 by SEBI (Depositories and Participants) (Second Amendment) Regulations, 1998 vide S.O. No. 76(E).

(e) On May 20, 1999 by SEBI (Depositories and Participants) (Amendment) Regulations, 1999 vide S.O. No. 357(E).

(f) On July 7, 1999 by SEBI (Depositories and Participants) (Second Amendment) Regulations, 1999 vide S.O. No. 546(E).

(g) On September 21, 1999 by SEBI (Depositories and Participants) (Third Amendment) Regulations, 1999 vide S.O. No. 775(E).

(h) On December 26, 2000 by SEBI (Depositories and Participants) (Amendment) Regulations, 2000 vide S.O. No. 1160(E).

(i) On May 29, 2001 by SEBI (Investment Advice by Intermediaries) (Amendment) Regulations, 2001 vide S.O. No. 476(E).

(j) On September 27^th, 2002 by SEBI (Procedure for Holding Enquiry by Enquiry Officer and Imposing Penalty) Regulations, 2002 vide S.O. No. 1045(E).

(k) On June 16, 2003 by SEBI (Depositories and Participants) (Amendment) Regulations, 2003 vide S.O. No. 696(E).

(l) On September 2, 2003 by SEBI (Depositories and Participants) (Second Amendment) Regulations, 2003 vide S.O. No. 1014(E).

(m) On October 1, 2003 by SEBI (Depositories and Participants) (Third Amendment) Regulations, 2003 vide S.O. No. 1156(E).

(n) On March 10, 2004 by SEBI (Criteria for Fit and Proper Person) Regulations, 2004 vide S.O. No. 398(E).

(o) On June 10, 2004 by SEBI (Depositories and Participants) (Amendment) Regulations, 2004 vide S.O. No. 696(E).

**********

Home	Back

THE GAZETTE OF INDIA EXTRAORDINARY PART –III – SECTION 4 PUBLISHED BY AUTHORITY SECURITIES AND EXCHANGE BOARD OF INDIA NOTIFICATION Mumbai, the 10^th October, 2007 SECURITIES AND EXCHANGE BOARD OF INDIA (DEPOSITORIES AND PARTICIPANTS) (AMENDMENT) REGULATIONS, 2007 No. 11/LC/GN/2007/4485. In exercise of the powers conferred by section 30 of the Securities and Exchange Board of India Act, 1992 (15 of 1992), the Board hereby makes the following Regulations to further amend the Securities and Exchange Board of India (Depositories and Participants) Regulations, 1996, namely :- 1. These Regulations may be called the Securities and Exchange Board of India (Depositories and Participants) (Amendment) Regulations, 2007. 2. They shall come into force on the date of their publication in the Official Gazette. 3. In the Securities and Exchange Board of India (Depositories and Participants) Regulations, 1996, in regulation 7, after clause (c), the following proviso shall be inserted, namely:- “Provided that a depository may carry out such activity not incidental to its activities as a depository, as may be assigned to the depository by the Central Government or by a regulator in the financial sector, through the establishment of Strategic Business Unit(s) specific to each activity with the prior approval of the Board and subject to such conditions as may be prescribed by the Board, including transfer of such activity to a separate company within such time as may be specified by the Board, having regard to the matters which are relevant to the efficient and orderly function of the Depository as mentioned in regulation 13. Explanation : For the purposes of this clause, a Strategic Business Unit shall be an organizational unit of a company with its own mission, objectives and business strategy that is given the responsibility to serve the particular demands of one business area with appropriate technological, financial and other segregations.” M. DAMODARAN CHAIRMAN [ADVT. III/IV/69ZB/2007/Exty.] Footnotes: 1. The principal regulations, Securities and Exchange Board of India (Depositories and Participants) Regulations, 1996 was published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (ii) on May 16, 1996 vide S.O. No. 345(E). 2. The Securities and Exchange Board of India (Depositories and Participants) Regulations, 1996, were subsequently amended: – (a) On February 7, 1997 by SEBI (Depositories and Participants) (Amendment) Regulations, 1997 vide S.O. No. 91(E). (b) On September 5, 1997 by SEBI (Depositories and Participants) (Second Amendment) Regulations, 1997 vide S.O. No. 640(E). (c) On January 5, 1998 by SEBI (Depositories and Participants) (Amendment) Regulations, 1998 vide S.O. No. 18(E). (d) On January 21, 1998 by SEBI (Depositories and Participants) (Second Amendment) Regulations, 1998 vide S.O. No. 76(E). (e) On May 20, 1999 by SEBI (Depositories and Participants) (Amendment) Regulations, 1999 vide S.O. No. 357(E). (f) On July 7, 1999 by SEBI (Depositories and Participants) (Second Amendment) Regulations, 1999 vide S.O. No. 546(E). (g) On September 21, 1999 by SEBI (Depositories and Participants) (Third Amendment) Regulations, 1999 vide S.O. No. 775(E). (h) On December 26, 2000 by SEBI (Depositories and Participants) (Amendment) Regulations, 2000 vide S.O. No. 1160(E). (i) On May 29, 2001 by SEBI (Investment Advice by Intermediaries) (Amendment) Regulations, 2001 vide S.O. No. 476(E). (j) On September 27^th, 2002 by SEBI (Procedure for Holding Enquiry by Enquiry Officer and Imposing Penalty) Regulations, 2002 vide S.O. No. 1045(E). (k) On June 16, 2003 by SEBI (Depositories and Participants) (Amendment) Regulations, 2003 vide S.O. No. 696(E). (l) On September 2, 2003 by SEBI (Depositories and Participants) (Second Amendment) Regulations, 2003 vide S.O. No. 1014(E). (m) On October 1, 2003 by SEBI (Depositories and Participants) (Third Amendment) Regulations, 2003 vide S.O. No. 1156(E). (n) On March 10, 2004 by SEBI (Criteria for Fit and Proper Person) Regulations, 2004 vide S.O. No. 398(E). (o) On June 10, 2004 by SEBI (Depositories and Participants) (Amendment) Regulations, 2004 vide S.O. No. 696(E). **********