The National Commodity Clearing Limited (NCCL) on August 01, 2024, notified regarding the Segregation and Monitoring of Collateral at Client Level.
The following has been stated:
• Deallocation request shall not exceed the value of allocation done for the client/CP.
• The Members shall take into consideration the impact of deallocation/release on the eligible value of non-cash collaterals pledged / re-pledged with NCCL and the resultant change in an effective deposit of the client on account of the cash and cash equivalent to non-cash ratio.
• Any margin shortfall pursuant to deallocation request or release of cash equivalent collaterals through pledge / re-pledge mechanism shall be blocked from TM Proprietary effective deposit of the TM of such client.
• Similarly, in the case of CP, the residual margin utilisation shall be blocked from CM Proprietary effective deposit of the CM of such CP.
This notification will come into force from August 05, 2024.
[Notification No NCCL/CLEARING-044/2024]
