The National Stock Exchange (NSE) on February 24, 2025, notified regarding the Penalty Structure with respect to Unauthorized Trades.
The following has been stated namely: -
• It states that the update modifies the previous circular (NSE/ISC/60035 dated December 29, 2023) by removing the term "conciliation" from specific penalty provisions.
• It states that the revised penalties include a monetary fine of Rs. 50,000 or 3% of the admissible amount determined in the IGRC, Arbitration award, or Appellate order/award, whichever is higher, per case of unauthorized trading.
• Additionally, members may face restrictions on onboarding new clients if a significant percentage of complaints are related to unauthorized trading. Persistent non-compliance could lead to further disciplinary actions, including extended debarment periods and inspections.
[Notification no. - NSE/ISC/66828]
