Permitting non-scheduled payments banks to register as bankers to an issue- (Securities and Exchange Board of India) (03 Aug 2021)

MANU/SDEP/0006/2021

Capital Market

1. SEBI vide notification dated July 30, 2021, amended the SEBI (Bankers to an Issue) Regulations, 1994 (BTI Regulations) thereby permitting such other banking company, as may be specified by the Board, from time to time, to carry out the activities of Bankers to an Issue (BTI), in addition to the scheduled banks.

2. In this regard, non-scheduled Payments Banks, which have prior approval from Reserve Bank of India, shall be eligible to act as a BTI subject to fulfillment of the conditions stipulated in the BTI Regulations.

3. Payments Banks registered as a BTI shall also be permitted to act as a Self-Certified Syndicate Bank subject to the fulfillment of the criteria laid down by the Board in this regard from time to time. The blocking/movement of funds from the investor to issuer shall only be made through the savings account of the investor held with the payments bank.

4. This circular is issued in exercise of powers conferred by Section 11(1) of the Securities and Exchange Board of India Act, 1992 to protect the interests of investors in securities and to promote the development of, and to regulate the securities market.

Tags : NON-SCHEDULED PAYMENTS BANKS REGISTRATION PERMISSION