SEBI Proposes Shift In Broker Net Worth Norms From Client Funds Held To Client Balances And Client Base

The Securities and Exchange Board of India (SEBI) has proposed shifting the calculation of brokers' variable net worth from a metric based on client funds retained with them to a composite formula based on client credit balances and the size of their client base. The requirement itself came in 2022, when brokers were asked to maintain net worth equal to ten percent of the average daily cash balance of client funds retained with them over the previous six months. That approach, SEBI said, has...

SEBI Proposes Shorter Payment Timelines, Clear Release Rules For Unpaid Securities

SEBI has proposed to let brokers set a shorter deadline for clients to pay for trades and to lay down clear timelines for when unpaid securities must be released, invoked, or automatically unblocked. The regulator noted that at present, unpaid securities are credited to the client's demat account and remain pledged in favour of a separate “Client Unpaid Securities Pledgee Account” until the payment obligation is met.It said representations from the Brokers' Industry Standards Forum had pointed...

SEBI Allows Net Settlement Of Funds For FPIs In Cash Market

The Securities and Exchange Board of India has allowed net settlement of funds for transactions undertaken by Foreign Portfolio Investors in the cash market to improve operational efficiency and reduce funding costs. Under the existing system, FPIs are required to settle transactions on a gross basis. This results in separate fund flows for purchases and sales within the same settlement cycle, leading to higher liquidity requirements and additional costs, including those arising from forex...

SEBI Imposes ₹30 Lakhs Penalty On 11 Entities For Manipulative Trading In Veer Global Scrip

On 22 April 2026, the Securities and Exchange Board of India (SEBI) imposed a consolidated penalty of Rs. 30 lakh on 11 entities for engaging in fraudulent and manipulative trading in the scrip of Veer Global Infraconstruction Ltd, in violation of the SEBI (Prohibition of Fraudulent and Unfair Trade Practices relating to Securities Market) Regulations, 2003. Adjudicating Officer (AO) Sudeep Mishra passed the order and held that such manipulative trading patterns undermine market integrity and...

ICICI Prudential Entities Settle SEBI Case Over Delay In Winding-Up Of Real Estate Scheme, Pay ₹14.35 Lakh

ICICI Prudential Venture Capital Fund, along with ICICI Prudential Asset Management Company Ltd. and ICICI Prudential Trust Ltd., has settled proceedings before SEBI by paying Rs. 14.35 lakh over delays in winding up and distributing proceeds from its 2013 real estate scheme.The applicants, ICICI Prudential Venture Capital Fund, ICICI Prudential Asset Management Company Ltd., and ICICI Prudential Trust Limited, had filed suo motu settlement applications under the SEBI (Settlement Proceedings)...

Motilal Oswal AIF Settles SEBI Proceedings Over AIF Regulation Violations, Pays ₹38.76 Lakh

Motilal Oswal Alternative Investment Trust and Motilal Oswal Asset Management Company Ltd have opted to settle a case for alleged violations of the SEBI (Alternative Investment Funds) Regulations, 2012, after paying Rs. 38.76 lakh, with the regulator disposing of the proceedings in terms of the settlement.The matter arose from observations that the AIF had retained Rs. 8.69 crore from 109 defaulting investors as a penalty instead of crediting the same to the scheme for the benefit of other...

SEBI Lowers Credit Risk Threshold, Expands REIT Risk Classification Framework In 2026 Amendment

On 16 April 2026, the Securities and Exchange Board of India (SEBI) notified the SEBI (Real Estate Investment Trusts) (Amendment) Regulations, 2026, amending the 2014 Regulations. The amendment reduces the minimum credit risk value requirement from 12 to 10 and expands the risk classification framework by introducing “Class B-I” alongside “Class A-I”. The regulations came into force on the date of their publication in the Official Gazette, i.e., 16 April 2026.

SEBI Imposes ₹18 Lakh Penalty On Lypsa Gems, Promoters and Directors For Misrepresentation, Disclosure Lapses

The Securities and Exchange Board of India (SEBI) on Thursday imposed penalties totalling Rs 18 lakh on Lypsa Gems & Jewellery Limited (LGJL) and its promoters and directors for misrepresentation and concealment of material information in its financial statements and disclosures, holding that the company misled investors and compromised market integrity. The order was passed by SEBI's Adjudicating Officer Sudeep Mishra.It follows a probe into the company's financial affairs spanning FY...

SEBI Signs MoU With FIU-India To Enhance Data Sharing, Curb Securities Fraud, Money Laundering

The Securities and Exchange Board of India on Thursday said it has signed a memorandum of understanding with the Financial Intelligence Unit (FIU-India) to step up action against fraud and money laundering in the securities market.The agreement, inked on April 15, 2026, will enable regular sharing of data and intelligence between the regulator and FIU-India to strengthen enforcement under the Prevention of Money Laundering Act, 2002 and the rules framed under it. The two agencies will...

SEBI Revises Social Stock Exchange Norms: Allows NPO Registration Up to 3 Years

The Securities and Exchange Board of India (SEBI) has issued a circular revising the framework for Not for Profit Organisations on the Social Stock Exchange, easing registration and fund-raising requirements.SEBI has extended the period of registration for NPOs on SSE from two years to three years without the requirement to raise funds. The regulator has also reduced the minimum subscription requirement for the issuance of Zero Coupon Zero Principal instruments from 75% to 50%, subject to due...

SEBI, DoT Sign MoU To Curb Securities Market Fraud Through Data Sharing

The Securities and Exchange Board of India has entered into a Memorandum of Understanding with the Department of Telecommunications, Government of India, to facilitate data sharing and enhance cooperation in combating fraud in the securities market. The MoU, signed on April 15, 2026, by Sanjeev Sharma, DDG (AI&DIU), DoT, and Sandip Pradhan, Whole Time Member, SEBI, in the presence of senior officers, enables regular exchange of data and information between the two authorities. DoT has...

Former Additional Controller General Of Defence Accounts K.V.R. Murty Takes Charge As SEBI Whole-Time Member

Former Additional Controller General of Defence Accounts K.V.R. Murty has taken charge as Whole-Time Member of the Securities and Exchange Board of India (SEBI) in Mumbai. Murty brings over three decades of experience across national security and corporate affiars. Over the course of his career, he has held key financial advisory roles, including Principal Integrated Financial Adviser to the Indian Air Force and Financial Adviser to the Defence Research and Development Organization (DRDO). ...