Sebi proposes framework for winding down of KYC registration agencies

The Securities and Exchange Board of India (Sebi) on Tuesday proposed a framework to ensure the orderly winding down of critical operations and services of KYC registration agencies (KRAs). The framework aims to safeguard investor interests by ensuring continuity of KRA services and a smooth transfer of operations to a designated successor entity in cases of insolvency, cessation, or regulatory action.

 

In a consultation paper, Sebi emphasised that the framework must guarantee uninterrupted services, protection of investor KYC data, and the fulfilment of statutory and contractual obligations. Additionally, it should facilitate a seamless transition to a successor entity.

 

The regulator has outlined key requirements for the framework, including the establishment of standard operating procedures (SOPs) and the identification of potential scenarios. KRAs will be responsible for finalising these measures. 

 

Relief to brokers on T+0 execution  The Securities and Exchange Board of India (Sebi) on Tuesday extended the timeline for large brokers to put in place necessary systems for the optional T+0 settlement cycle. In a directive issued in December 2024, the regulator had specified May 1, 2025 as the timeline for qualified stock brokers (QSBs) to comply. It has now been extended to November 1.   - BS reporter

Avoid ‘opinion trading platforms’  Sebi on Tuesday cautioned investors against ‘opinion trading platforms’ as they do not fall under the regulatory purview and lack investor protection mechanism. The regulator also advised stock exchanges to initiate action against such platforms. “Opinion trading does not   fall   within regulatory purview of Sebi, as what is traded is not security,” said Sebi.   - BS reporter

 

TPG sells 3.9% stake in Tata Tech  

TPG Rise Climate on Tuesday sold 3.91 per cent stake in Tata Technologies to mopup ₹1,068 crore. The private equity major sold 15.86 million shares at ₹673 apiece. Shares of Tata Technologies fell 6.1 per cent to end at ₹663 on BSE. As of March 2025, TPG Rise Climate held a 6.01 per cent stake in Tata Technologies.   - BS reporter