Q.15 : Compliance Queries

Query-1:

New Certificate – my SEBI registration was renewed in Apr’19 but haven’t got new certificate yet. There was confusion whether the old certificate has to be given to regional office / not to be given / sent to Bombay office etc. An year passed doing this and then lockdown in Mar’20. Most SEBI offices are closed and even more difficult to get a reply now. This week, after lot of reluctance, staff at SEBI Hyd office connected me to an AGM. Over phone, he said – courier the old certificate to SEBI Chennai office and they will send new certificate to my registered address. Is this the correct process to get new certificate? If not, please guide.

Response-1: 

In terms of SEBI (Change in conditions of Registration of certain Intermediaries) Regulations, 2016, the certificate of registration is valid unless it is suspended or cancelled by the Board, subject to payment of fees as prescribed.

It is not clear, as to why your old certificate was asked back.

__________________________________________________
Query-2:

Address Change – We had shut down old office. Do I update the new address on SIP Portal or in writing to regional office? SEBI Hyd office had no clue what is to be done here. Please guide – how to update the address?

Response-2:

Change in address can be carried out on SIP portal.

In-fact you may asap proceed with the change of address, so that subsequently, you may get the new registration certificate containing new address, asap.

__________________________________________________
Query-3: 

CKYC Registration – I had never applied for KRA registration. For one, almost all the client already have KYC. Few family members of clients, who did not have, I would give their KYC docs to AMC or stock broker. I understand, as an intermediary I NEED to have a KRA login, whether I use it or not. There seems to be lot of discussion about the difficulties in getting KRA login for an individual RIA. A guide or step by step process for this application with any KRA (or the easiest one) would be greatly helpful.

Response-3: 

KRA-KYC:

SEBI KRA Regulations, 2011, amended in 2014

Similarly, the intermediaries also need to follow KRA-KYC process i.e.

— Check for KYC status in KRA site

— If status is “KYC registered” then, login to KRA site and download the KYC documents.

— If not, then, you, should collect the KYC information and upload in KRA site.

Note: You can register as an ‘Intermediary’ for carrying out KYC processes with any of the KRAs auhorised by SEBI.

Following are the 5 KRAs in India:

KRA-1. CSDL Ventures Limited

KRA-2. NSE Data & Analytics (Formerly DotEx International Limited)

KRA-3. Karvy Data Management Services Limited (KDMSL-KRA)

KRA-4. NDML (NSDL Database Management Limited)

KRA-5. CAMS Investor Services Private Limited

_________________

For instance, you will get the forms and documents to submit along with detailed registration process with KRA — CSDL Ventures Limited at this link:

https://www.cvlkra.com/Downloads/CVLKRA_Intermediary_Registration.zip

________________________________________________________
Query4: 

FICU – I believe, this would only happen once the renewed certificate is ready with me. Please correct me if my understanding is incorrect.

Response-4:

The query is probably regarding FIU-IND (Financial Intelligence Unit-India).

Please note – if your registration is renewed and is so reflecting on the SEBI portal as per validity field, then you go ahead and complete the FIU correspondence.

— Refer the following link to check your publicly visible status: https://www.sebi.gov.in/sebiweb/other/OtherAction.do?doRecognisedFpi=yes&intmId=13

Designation of officers for ensuring compliance with provisions of PMLA

1. a) Appointment of a Principal Officer and Intimation of it, to the Office of the Director-FIU

Names, designation and addresses (including email addresses) of ‘Principal Officer’

2.  b) Appointment of a Designated Director and Intimation of it, to the Office of the Director-FIU

Names, designation and addresses (including email addresses) of ‘Designated Director’

________________________________________________________

Query-5: 

BSE ASL – Pending for want of renewed certificate. Please correct me if my understanding is incorrect.

Response-5:

Since the attested documents would have to be uploaded, you may be stuck for want of valid certificate in hand. But, please check the response of your first query, if it suits you.

___________________________________________________________

Query-6: 

SCORE Login – I had a SCORES login. Did not use it for sometime and now it does not seem to work. Whom do I contact to get new login credentials (not urgent though).

Response-6: 

According to SEBI Circular No. CIR/OIAE/1/2014 dated December 18, 2014 about SCORES registration – the intermediary has to submit simple Form-B duly signed, after which the RIA may obtain SCORES User ID and Password.

Click here: Refer Circular (with Form-B)

— Scanned copy to be sent by email to scores@sebi.gov.in

— Hard copy to SEBI i.e.

The General Manager, Investment Management Department

Securities and Exchange Board of India (SEBI)

SEBI Bhavan, Plot No. C4-A , G Block, Near Bank of India, Bandra Kurla Complex, Bandra East,

Mumbai, Maharashtra – 400051

— Replied by: ARIA forum expert, CA. Sanjay Kadel (sk@sanjaykadel.com)

Disclaimer:

Information contained in the responses / answers to the queries posted to ARIA, and related notes / discussion / documents / guidelines / interpretations / publication provided in connection to such responses to queries, are intended for use, primarily by the relevant queryist and generally for members of ARIA only, to the extent suitable to their situation / case. If you are not the intended audience of these query-response artefacts, an agent of the intended audience or a person responsible for delivering the information to the named entities, you are notified that any use, distribution, transmission, printing, copying or dissemination of this information in any way or in any manner is strictly prohibited.

Every effort has been made to avoid errors or omissions in these query-response artefacts. In spite of this, errors may creep in. Any mistake, error or discrepancy noted may be brought to our notice at membership@aria.org.in (more contact details at https://aria.org.in) which shall be taken care of in the next update and release.

Though, we may provide, to the best extent possible, a reasonably proper response to the query, there may be, alternative answers / approaches / interpretations / improvisation possible.

It is notified that neither ARIA nor the authors, including, members of Sanjay Kadel & Co. Chartered Accountants, or anyone connected herewith will be responsible for any damage or loss of action to any one, of any kind, in any manner, therefrom. It is suggested that to avoid any doubt the reader should cross-check all the facts, law and contents of the publication with original Government publication or notifications.