SECURITIES AND EXCHANGE BOARD OF INDIA
SECONDARY MARKET DEPARTMENT
Mittal Court, A Wing, Gr. Floor,
224, Nariman Point, Mumbai 400 021
SMDRP/POLICY CIR.-19/2435/98
JULY 29, 1998
The President/Executive Director/
Managing Director of all Stock Exchanges/
NSDL / All Custodians.
Dear Sir,
Sub.: Trading by Institutional Investors and settlement of trades in Demat Securities
Please refer to our Circular No. SMD/Policy Cir. 1/98 dated January 12, 1998 advising inter alia, the introduction of compulsory settlement of trades in demat form in respect of eight scrips with effect from January 15, 1998 for the Institutional Investors, viz., Domestic Financial Institutions, Banks, Mutual Funds and Foreign Institutional Investors having a minimum portfolio of securities of Rs.10.00 crore as on the latest balance sheet date.
It was subsequently decided to add 22 more securities to the aforesaid list in which the institutional investors have to settle the trades by demat securities with effect from June 1, 1998. The list was increased by an additional 20 scrips with effect from August 10, 1998.
It has now been decided to add 60 more scrips for compulsory dematerialised trading by institutional investors, with effect from October 15, 1998, taking the total of such scrips to 110. The list of scrips along with the various applicable date for compulsory dematerialised trading is given as annexure A.
It has also been decided to do away with the minimum portfolio investment in securities of Rs.10.00 crore by institutional investors and to include Overseas Corporate Bodies (OCBs), under the Institutional Investors for this purpose. This would come into effect from September 1, 1998.
It may be noted that these institutional investors may purchase the securities in the physical segment subject to the securities being dematerialised immediately. The delivery of dematerialised securities of these scrips is treated as good delivery in the physical segment on the stock exchanges where depository based settlements are available.
It was also decided that the Clearing Houses of the Stock Exchanges and Clearing Corporations should accept dematerialised shares in cases of rectification of company objections.
Institutional Investors may deliver non pari-passu shares of the specified companies in the physical form, in case the Issuers have not entered into an agreement with NSDL for dematerialisation of such securities. The institutional investors shall dematerialise their holdings of the non pari-passu shares within two weeks of the shares becoming pari-passu.
Yours faithfully,
P. K. KURIACHEN
DIVISION CHIEF
SECONDARY MARKET, DEPOSITORY,
RESEARCH AND PUBLICATIONS DEPARTMENT
Encl : Annexure A
SMDRP/POLICY CIR.- / /98
September 24, 1998
The President/Executive Director/
Managing Director of all Stock Exchanges/
NSDL / All Custodians.
Dear Sir,
Sub.: Trading and settlement of trades in Demat Securities
Please refer to our Circular No. SMD/Policy/Cir.19/2435/98 dated July 29, 1998 advising inter alia, the list of scrips for compulsory settlement of trades in demat form for the Institutional Investors, viz., Domestic Financial Institutions, Banks, Mutual Funds and Foreign Institutional Investors and Overseas Corporate Bodies.
It has now been decided to add 125 more scrips for compulsory dematerialised trading by institutional investors, with effect from December 15, 1998, taking the total of such scrips to 235. The list of scrips for compulsory dematerialised trading from December 15, 1998 is given as annexure A.
It was also decided that delivery of dematerialised securities shall be treated as good delivery for negotiated deals also. Besides, the institutional investors should compulsorily deliver securities in demat form for trades executed as negotiated deal in respect of securities which are announced by SEBI from time to time for compulsory dematerialised trading by institutional investors.
The custodians of securities are advised to make prompt payment in respect of shares received by them fully in dematerialised form.
Yours faithfully,
P. K. KURIACHEN
DIVISION CHIEF
SECONDARY MARKET, DEPOSITORY,
RESEARCH AND PUBLICATIONS DEPARTMENT
Encl : Annexure A
Annexure A.
| Sr. No |
Name of the Company |
Sr. No |
Name of the Company |
| 1. |
BALRAMPUR CHINI MILLS LTD. |
64. |
ATUL LTD. |
| 2. |
BURROUGHS WELLCOME LTD. |
65. |
BINANI ZINC LTD. |
| 3. |
E MERCK LTD. |
66. |
CHEMNOr DRUG LTD. |
| 4. |
FINOLEX CABLES LTD. |
67. |
CIPLA LTD. |
| 5. |
GLOBAL TRUST BANK LTD. |
68. |
CLARIANT LTD. |
| 6. |
GODREJ SOAPS LTD. |
69. |
COATs VIYELA LTD. |
| 7. |
GUJARAT ALKALIS & CHEM LTD. |
70. |
COROMANDAL FERT. LTD. |
| 8. |
HOTEL LEELA VENTURES LTD. |
71. |
CYBERTECH LTD. |
| 9. |
INGERSOLL RAND LTD. |
72. |
DLF CEMENT LTD. |
| 10. |
NICHOLAS PIRAMAL LTD. |
73. |
EICHER LTD. |
| 11. |
NOVARTIS LTD. |
74. |
EICHER MOTORS LTD. |
| 12. |
PROCTER & GAMBLE LTD. |
75. |
ELECTROSTEEL CASTINGS LTD |
| 13. |
RHONE POULENC LTD. |
76. |
EMCO TRANSFORMERS LTD. |
| 14. |
SESA GOA LTD. |
77. |
EVEREADY IND. LTD |
| 15. |
SUN PHARMA IND. LTD. |
78. |
FEDERAL BANK LTD. |
| 16. |
SUPREME IND. LTD. |
79. |
FINOLEX IND. LTD. |
| 17. |
VOLTAS LTD. |
80. |
GEC ALSTHOM LTD. |
| 18. |
WOCKHARDT LTD. |
81 |
GIPCL LTD. |
| 19. |
ZUARI IND. LTD. |
82. |
GREAVES LTD. |
| 20. |
APPLE FINANCE LTD. |
83. |
HCL INFOSYSTEMS LTD. |
| 21. |
BLOW PLAST LTD. |
84. |
HINDUSTAN INKS LTD. |
| 22. |
BPL ENGINEERING LTD. |
85. |
HOECHST MARRION ROUSSEL LTD. |
| 23. |
CARBORANDUM UNIVERSAL LTD. |
86. |
IG PETRO LTD. |
| 24. |
CHOLAMANDALAM INV. & FIN. CO. LTD. |
87. |
INDO RAMA SYNTH. LTD. |
| 25. |
DGP WINDSOR LTD. |
88. |
ISPAT IND. LTD. |
| 26. |
E. I. D. PARRY LTD. |
89. |
ITC AGRO LTD. |
| 27. |
HIMATSINGKA SEIDE LTD. |
90. |
ITW SIGNODE LTD. |
| 28. |
INTEGRATED ENTERPRISES (I) LTD. |
91. |
JAIN IRRIGATION LTD. |
| 29. |
ISIBARS LTD. |
92 |
JINDAL IRON & STEEL LTD. |
| 30 |
JBF INDUSTRIES LTD. |
93. |
JINDAL PHOTO FILMS LTD. |
| 31. |
K. G. DENIM LTD. |
94. |
JINDAL STRIPS LTD. |
| 32. |
KRISHNA FILAMENTS LTD. |
95. |
JINDAL VIJAYNAGAR STEEL LTD. |
| 33. |
NAVNEET PUBLICATIONS LTD. |
96. |
JYOTI STRUCTURE LTD. |
| 34. |
PARRY’S CONFECTIONERY LTD. |
97. |
KOPRAN LTD. |
| 35. |
PRISM CEMENT LTD. |
98. |
KOTAK MAH. FINANCE LTD. |
| 36. |
UNITED WESTERN BANK LTD. |
99. |
MALVIKA STEELS LTD. |
| 37. |
USHA INDIA LTD. |
100. |
MANALI PETRO LTD. |
| 38. |
WEIZMANN LTD. |
101. |
MARICO IND. LTD. |
| 39. |
ESAB INDIA LTD. |
102. |
MAX INDIA LTD. |
| 40. |
ESSEL PACKAGING LTD. |
103. |
MERIND LTD. |
| 41. |
GARWARE POLYESTER LTD. |
104. |
MORARJEE GOCUL SPG. & WVG. LTD. |
| 42 |
GARWARE WALLROPES LTD. |
105. |
MOREPEN LABS LTD. |
| 43. |
INDIAN SHAVING PROD. LTD. |
106. |
MORGAN STANLEY (MF UNITS) |
| 44. |
UTI Bank ltd. |
107. |
NIRMA LTD. |
| 45. |
PARKE DAVIS LTD. |
108. |
ONWARD TECH. LTD. |
| 46. |
RECKITT & COLMAN LTD. |
109. |
OTIS ELEVATOR CO. LTD. |
| 47. |
SATYAM COMPUTERS LTD. |
110. |
PRAJ IND. LTD. |
| 48. |
SMITHKLINE BEECHAM CONSUMER PRODUCTS LTD. |
111. |
PUNJAB WIRELESS SYS. LTD. |
| 49. |
SMITHKLINE PHARMA LTD. |
112. |
RELIANCE INDUST, INFRAST LTD. |
| 50. |
SWARAJ ENGINES LTD. |
113. |
RPG TELECOM LTD. |
| 51. |
TATA HYDRO LTD. |
114. |
SANGHI POLYESTER LTD. |
| 52. |
TITAN IND. LTD. |
115. |
SHREE CEMENT LTD. |
| 53 |
ZEE TELEFILM LTD. |
116. |
SHREE DIGVIJAY CEMENT LTD. |
| 54. |
FACT LTD. |
117. |
SHREE KRISHNA POLY. LTD. |
| 55. |
HINDUSTAN ORGANIC CHEM. LTD. |
118. |
STANDARD IND. LTD. |
| 56. |
NALCO LTD. |
119. |
SUNDARAM CLAYTON LTD. |
| 57. |
ONGC LTD. |
120. |
SYNTH. & CHEM. LTD. |
| 58. |
RCF LTD. |
121. |
TATA INFOTECH LTD. |
| 59. |
SHIPPING CORP.OF INDIA LTD. |
122. |
TIMEX WATCHERS LTD. |
| 60. |
ADVANI OERLIKON LTD. |
123. |
USHA ISPAT LTD. |
| 61. |
APR LTD. |
124. |
VYSYA BANK LTD. |
| 62. |
APTECH LTD. |
125. |
WOOLWORTH LTD |
| 63. |
ASTRA IDL LTD. |
SMDRP/POLICY CIR.- 29/98
October 14, 1998
The President/Executive Director/
Managing Director of all Stock Exchanges/
NSDL / All Custodians.
Dear Sir,
Sub.: Trading and settlement of trades in Dematerialised Securities
Please refer to our Circular No. SMD/Policy/Cir.19/2435/98 dated July 29, 1998 advising inter alia, the list of scrips for compulsory settlement of trades in dematerialised form for the Institutional Investors, viz., Domestic Financial Institutions, Banks, Mutual Funds and Foreign Institutional Investors and Overseas Corporate Bodies.
The following seven companies included in the list have either signed the tripartite agreement between NSDL and their registrars only recently or are in the process of completing the formalities for signing the agreement.
- Colgate
- Hindustan Zinc Ltd
- HMT
- IBP
- Bharat Earth Movers Ltd
- Bharat Electronics Ltd
- BHEL
It has therefore been decided to postpone the date for compulsory dematerialised trading in respect of the above companies to December 15, 1998, when another 125 scrips already announced by SEBI will be traded compulsorily in demat form by institutional investors.
Yours faithfully,
P.K.KURIACHEN
DIVISION CHIEF
SECONDARY MARKET, DEPOSITORY,
RESEARCH AND PUBLICATIONS DEPARTMENT