NATIONAL
STOCK EXCHANGE OF INDIA LIMITED.
CAPITAL
MARKET OPERATIONS
Circular No: NSE/CMO/061/2006
Download No: NSE/CMTR/8089
Date: November 10, 2006
Dear Members,
Internet
Based trading services
The Exchange in adherence
with SEBI circular no. SMDRP/Policy/Cir-6/00 dated January 31, 2000 has been
granting approval for providing Internet based trading facility by the trading
members (refer NSE circular ref no. NSE/CMO/0014/2000 dated May 12, 2000)
The Exchange has now been
directed by SEBI, to modify the criteria for granting Internet Trading approval
procedure to include the following point:
1. To undertake system audit of the trading members desirous of
providing internet based trading facility by the Exchange nominated system
auditors and report thereof submitted to the Exchange.
In view of the above, the
Exchange has decided to change the approval process of the application for the
internet based trading facility as below.
|
Sr. No. |
Application procedure for seeking approval for Internet
based trading facility |
|
1. |
Application and documents received from Trading member as
per NSE circular ref no. NSE/CMO/0014/2000 dated May 12, 2000 and
NSE/CMO/0235/2005 dated August 24, 2005 alongwith additional details as per
format given in Annexure 1. |
|
2. |
Providing details of proposed system audit to the trading
member by the Exchange |
|
3. |
System audit report submitted by the system auditor to
the Exchange. |
|
4. |
Granting of provisional permission by the Exchange for
Internet Based Trading |
Further, trading members
are requested to take note of these changes and are requested to provide the
system auditors information and support as required during the system audit. The
new approval procedure and charge structure (as per Annexure 2) will be
applicable w.e.f. November 13, 2006 for the following scenarios:
|
Sr. No. |
Scenario |
New Product |
Audited earlier by Exchange appointed
auditor |
Not audited earlier |
|
1 |
First time IBT
approval |
Yes |
- |
- |
|
2 |
Subsequent IBT
approval |
|
|
|
|
a |
Same software with
modifications for additional features |
- |
No |
Yes |
|
b |
Vendor Change |
- |
Yes |
Yes |
For any further
clarifications, trading members are advised to contact the following officials:
Ms Madhvi Gogate/ Ms. Purvi Jobanputra / Mr. Pramod Das at 26598150.
For and on behalf of
National Stock Exchange of
India Ltd.
Suprabhat Lala
Asst. Vice President –
Capital Market
Annexure
1 – Letter format for providing additional details of Internet based trading
(To be given on letterhead of the
Member)
Date:
To
The CTCL
Department
National
Stock Exchange of India Ltd
Bandra
Kurla Complex
Mumbai –
400 051
Sub: Additional details for Internet Based
Trading
1. Please find the order routing server
details as under:
|
Contact Person |
Designation |
Telephone Number |
Complete address of the Internet based trading order
routing server |
|
|
|
|
|
|
Sr. |
Particulars |
Details |
|
1. |
Already providing IBT to clients |
YES / NO (Please select which is applicable)* |
|
* In case of YES then provide following information |
||
|
2. |
Name of the existing empanelled vendor |
|
|
3. |
Product application type (Eg. Browser based product) |
|
Regards,
Sd/
Annexure 2
|
Particulars |
Members developing in-house |
Members using software from empanelled vendors |
|
One Time charge |
Rs. 1,50,000/- |
Nil |
|
Annual charges |
Rs. 50,000/- |
Nil |
|
Application processing charges for Internet based trading
facility |
Rs. 100,000/- *( for each set up separately) |
Rs. 1,00,000/-* (for each set up separately) |
* Charges will be directly debited from Exchange Dues
Account