TaxTMI 
TaxTMI 
Schedule I - See regulation 10A
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....Act, 1956, Securities and Exchange Board of India Act, 1992, Depositories Act, 1996, including rules, regulations, circulars, guidelines or any other directions issued thereunder. (g) take a proactive and responsible attitude towards safeguarding the interests of investors, integrity of market infrastructure institution's system and the securities market. (h) endeavor for introduction of best business practices amongst itself and its members or participants. (i) act in utmost good faith and shall avoid conflict of interest in the conduct of its functions. (j) not indulge in unfair competition, which is likely to harm the interests of any other market infrastructure institution, their members, participants or investors or is likely to place them in a disadvantageous position while competing for or executing any assignment. (k) Segregate roles and responsibilities of key management personnel within the market infrastructure institution including: (i). Clearly mapping legal and regulatory duties to the concerned position; (ii). Defining delegation of powers to each position; (iii). Assigning regulatory, risk manag....
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.... and control functions have sufficient stature to perform their tasks effectively; ii. regulatory and control functions operate independently and have appropriate direct access to the governing board of the market infrastructure institution and senior management; iii. control functions are proactively involved in all relevant decisions and activities. (j) Provide for three lines of defense construct where: i. the first line of defense incorporates business units and support functions as it has the responsibility to own and manage risks associated with day to day operational activities; ii. the second line of defense consists of various oversight functions i.e., regulatory, risk management, compliance teams;and iii. the third line of defense comprises the internal audit function. (k) ensure that the roles and responsibilities of management in relation to three lines of defense are clearly specified and understood and that all employees are responsible for the regulatory, risk management and compliance outcomes. (l) ensure a culture of effective communication and challenge (i.e., encourage alternate views or ques....
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....pplicable to directors, committee members and key management personnel of a recognised market infrastructure institution: 1. General Responsibility Every director, committee members and key management personnel of the recognised market infrastructure institution shall- (a) analyse and administer the market infrastructure institution's issues with professional competence, fairness, impartiality, efficiency and effectiveness; (b) submit the necessary disclosures, statement of holdings, dealings in securities as required by the market infrastructure institution from time to time as per their rules, bye-laws or articles of association; (c) unless otherwise required by law, maintain confidentiality and not divulge or disclose any information obtained in the discharge of their duty and no such information is used for personal gains; (d) maintain the highest standards of personal integrity, truthfulness, honesty and fortitude in discharge of their duties in order to inspire public confidence and not engage in acts discreditable to their responsibilities; (e) perform their duties in an independent and objective manner and avoid....
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....te to honour the time limit stipulated by the Authority for corrective action. 3. Disclosures of Beneficial Interest All directors, committee members and key management personnel shall disclose to the governing board of recognised market infrastructure institution, upon assuming office and during their tenure in office, whenever the following arises:- (a) any fiduciary relationship of self and family members and directorship or partnership of self and family members in any broker dealer or clearing member or depository participant or registrar and transfer agent in IFSC; (b) shareholding, in cases where the shareholding of the director or key management personnel, directly or through his family exceeds 5 percent in any listed company or in other entities related to the securities markets; (c) any other business interests. 4. Access to Information (a) There shall be prescribed channels through which information shall move and further there shall be audit trail of the same. Any retrieval of confidential documents or information shall be properly recorded. (b) All such information, especially which is non-public a....
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....n to the Authority. 2. Role of the directors and committee members in the day to day functioning of the recognised market infrastructure institution (a) The directors and committee members shall not interfere in the day to day functioning of the market infrastructure institution and shall limit their role to decision making on policy issues and to issues as the governing board of market infrastructure institution may decide. (b) The directors and committee members shall abstain from influencing the employees of the market infrastructure institution in conducting their day to day activities. (c) The directors and committee members shall not be directly involved in the function of appointment and promotion of employees unless specifically so decided by the governing board of market infrastructure institution. 3. Avoidance of conflict of interest (a) No director or committee member of the market infrastructure institution shall participate in any decision making or adjudication in respect of any person or matter in which he or she is in any way, directly or indirectly, concerned or interested. (b) Conflict of interest in a....
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....eport of such meeting to the Authority and to the governing board of the market infrastructure institution within the time and manner as may be specified by the Authority from time to time. (c) Public interest directors shall identify important issues which may involve conflict of interest for the market infrastructure institution or may have significant impact on the functioning of the market infrastructure institution or may not be in the interest of securities market. The same shall be reported to the Authority in a time-bound manner. (d) Public interest directors shall have regular oversight on observations of Authority's inspection particularly on issues of governance standards, technology and cyber security and system audit and cyber security audit observations. (e) Public interest directors should be proactive in identifying any issues concerning functioning of market infrastructure institution and report the same to the Authority. Public interest directors should ensureall regulatory communication/letter from the Authority are placed before the governing board with comments/report of managing director. (f) Public interest directors shall ....