The National Stock Exchange (NSE) on November 22, 2024, issued the notification regarding the Penalty and penal charges for Margin Violation.
The following has been stated namely: -
• In respect of margin violations, penalty shall be levied on a monthly basis based on slabs as mentioned below or such other amount as may be specified for Clearing Corporation from time to time: -
o 1st instance – 0.07% per day
o 2nd to 5th instance of disablement – 0.07% per day +Rs. 5,000/- per instance from 2nd to 5th instance
o 6th to 10th instance of disablement – 0.07% per day+ Rs. 20,000 (from 2nd to 5th instance) + Rs. 10,000/- per instance from 6th to 10th instance
o 11th instance onwards – 0.07% per day + Rs. 70,000/- (from 2nd to 10th instance) + Rs. 50,000/- per instance from 11th instance onwards. Additionally, the member will be referred to the Member Committee for suitable action.
This shall come into effect from January 01, 2025.
Similar notifications have been issued by the following department - Commodity Derivatives, Currency Derivatives,Futures & Options, NSE Clearing - Capital Market
[Notification No. NCL/COM/65181]
