The National Commodity and Derivatives Exchange Limited (NCDEX) on July 05, 2024, issued a circular regarding the guidelines in pursuance of amendment to SEBI KYC (Know Your Client) Registration Agency (KRA) Regulations, 2011.
The following has been stated: -
•KYCs that are “On Hold” for records (both Non-AADHAAR and Non-OVD based) uploaded to the KRA until August 31, 2023.
•Such UCCs shall neither be permitted to trade on the Exchange nor will they be able to square up their open positions, if any, w.e.f. August 05, 2024, until they comply with the aforesaid requirement. Eventually, such open positions will naturally expire on the expiry date of the respective contract.
•All PANs that become KRA compliant subsequently, will be permitted to trade on T+1, based on the information received from KRA by the Exchange on T day.
•The list of non-validated clients, as mentioned above, is provided under the below-mentioned Path: WEB Extranet - Download files screen - Reports- Dnld.
•All the members are advised to take note and ensure that clients whose KYCs are not found to be validated by KRAs are not permitted to trade. Further, the members are also advised to specifically monitor the open positions, if any, of such clients and take appropriate measures to ensure compliance.
[Circular No. NCDEX/MEMBERSHIP-031/2024]
