Criteria for determining a ‘fit and proper person’

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ers, the compliance officer and the key management persons by whatever name called; and (c) the promoters or persons holding controlling interest or persons exercising control over the applicant or intermediary, directly or indirectly: Provided that in case of an unlisted applicant or intermediary, any person holding twenty percent or more voting rights, irrespective of whether they hold controlling interest or exercise control, shall be required to fulfill the 'fit and proper person' criteria. Explanation- For the purpose of this sub-clause, the expressions "controlling interest" and "control" in case of an applicant or intermediary, shall be construed with reference to the respective regulations applicable to th....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....om time to time. ^9[(3A) If any person under clause (2) is subjected to any event under sub-clause (b) of clause (3), the applicant or intermediary shall inform the Board of the occurrence of such event within fifteen working days of the recognised stock exchanges. (3B) A person shall be declared as not 'fit and proper person' by the Board, after granting such person a reasonable opportunity of being heard.] (4) Where any person has been declared as not 'fit and proper person' by an order of the Board, such a person shall not be eligible to apply for any registration during the period provided in the said order ^10[****]. (5) At the time of filing of an application for registration as an intermediary, if any notice to show cause....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....e 'fit and proper person' criteria may be invoked against such intermediary.] (7) The 'fit and proper person' criteria shall be applicable at the time of application of registration and during the continuity of registration and the intermediary shall ensure that the persons as referred in sub-clauses (b) and (c) of clause (2) comply with the 'fit and proper person' criteria.]   ************* NOTES:- 1 Inserted by the SEBI (Intermediaries) (Amendment) Regulations, 2016, w.e.f. 25.05.2016. 2 Substituted for the symbol "." by the SEBI (Intermediaries) (Amendment) Regulations, 2016, w.e.f. 25.05.2016. 3 Inserted by the SEBI (Intermediaries) (Amendment) Regulations, 2016, w.e.f. 25.05.2016. 4. Substituted....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....t agency in matters concerning economic offences and is pending;" 7.  Inserted vide F. No. SEBI/LAD-NRO/GN/2026/300 dated 15-04-2026 w.e.f. 15-04-2026 8.  Omitted vide F. No. SEBI/LAD-NRO/GN/2026/300 dated 15-04-2026 w.e.f. 15-04-2026 before it was read as, "any winding up proceedings have been initiated or" 9.  Inserted vide F. No. SEBI/LAD-NRO/GN/2026/300 dated 15-04-2026 w.e.f. 15-04-2026 10.  Omitted vide F. No. SEBI/LAD-NRO/GN/2026/300 dated 15-04-2026 w.e.f. 15-04-2026 before it was read as, "or for a period of five years from the date of effect of the order, if no such period is specified in the order" 11.  Substituted vide F. ....