Recognised association obligations: mandatory FMC approval, client identification, audit trail retention and monthly regulatory reporting required. A recognised association trading in derivatives must hold Forward Markets Commission approval, record and store client particulars including unique client identity number and PAN, maintain a complete seven-year audit trail of all derivative transactions, prohibit erasure of system-registered transactions, allow modifications only for genuine errors with records of such changes, and file a monthly statement in Form No. 3BC to the Director General of Income-tax (Intelligence and Criminal Investigation) within fifteen days of the month-end.