TaxTMI 
TaxTMI 
Position Limits for Commodity Derivatives, clubbing of open positions, penalties for violation of position limits
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....norms with regard to position limits and also to prescribe numerical position limits for all commodities which are presently being traded on the Commodity Derivatives Exchanges. 3. General Norms for Position Limits in Commodity Derivatives: The following norms shall be applicable to the Agricultural as well as Non-Agricultural commodity derivatives at commodity level: 3.1. Numerical value of overall client level open position limits, shall be applicable for each commodity as are provided in table given in Annexure- A to this circular. 3.2. The Exchanges, however, in their own judgment, may prescribe limits lower than what is prescribed by SEBI by giving advance notice to the market under intimation to SEBI. 3.3. For the purpose of position limits, norms applicable on client level positions shall also be applicable to the proprietary positions of trading members and while calculating member's open positions, his proprietary positions shall be treated and computed like a client's positions. 3.4. For the purpose of calculating overall position of a member, the overall position of its all clients (as determined in Clause '3.1 or 4.1'below) shall be added without netting ....
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.... India/Ministry of Agriculture/ Institutions/Agencies/ other Departments of Central and State Government, as may be appropriate. 6. Clubbing of Open Positions: While calculating open positions for the purpose of position limits, Exchanges shall take suitable measures for clubbing of open positions of clients/members who may be acting in concert to circumvent the norms of position limits. The broad guidelines for clubbing of open positions are provided in Annexure- B to the circular. 7. Monitoring of position limits: Exchanges shall monitor the open position on a real time basis, and shall endeavour that no client or member breaches the open position limits 'at end of the day' as well as 'during intra-day trading'. Penalty shall be levied on those breaching the position limits at end of the day as well as during intra-day trading as provided in Annexure-C to this circular. 8. The provisions of this circular shall come into effect from September 29, 2016 in supersession of all directives issued by erstwhile FMC with regard to matters related to Position Limits, clubbing of open positions, penalties for violation of position limits. 9. The Exchanges are adv....
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.... Raw Jute MT 8,000 21. Red Chilli MT 2,500 22. Refined Soy Oil MT 35,000 23. Rubber MT 4,000 24. Sacking Bales 3,000 25. Soy Bean MT 60,000 26. Sugar MT 20,000 27. Turmeric MT 4,000 28. Wheat MT 20,000 NON-AGRICULTURAL COMMODITIES 1. Aluminum MT 25,000 2. Brent Crude Oil BBL 400,000 3. Copper MT 7,000 4. Crude Oil BBL 480,000 5. Gold Kgs 5,000 6. Lead MT 3,500 7. Natural Gas mmBtu 6,000,000 8. Nickel MT 1000 9. Silver MT 100 10. Steel MT 120,000 11. Zinc MT 7,000 Annexure- B A. Guidelines for Clubbing....
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....ed under the state cooperative Acts, thus, are active in different agricultural commodities. These societies are also member of Federations at the State and National level. Due to this Federal structure there may be some instances when these societies have common Directors. Also, the persons from State Governments/RCS may be nominated as Directors in these societies. In view of this, the position of different societies if they are members of a Federation will not be clubbed with the open interest position of the Federation for the purpose of determining the open interest position of the Federal or vice versa. Similarly, if Govt/RCS nominated directors sits on the Boards of different societies, this will not amount to common interest for the purpose of clubbing of positions. 2. As a practice of good corporate governance, the companies now have independent directors on their Board with no financial interest in the company. Similarly, companies also have Govt/Financial Institutions nominated Directors without any financial interest in the company. In such cases, when the Directors don't have any financial interest in the company. The Commission has taken a view that the position of....