Mumbai3 minutes ago
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Security Exchange Board of India i.e. SEBI has imposed a fine of Rs 10 lakh on Axis Securities Limited. The penalty on Axis Securities has been imposed to violate the stock broker rules as well as other regulatory norms.
Capital Market Regulator SEBI said in an 82-position order that brokerage firm Axis Securities will have to pay a fine within 45 days. SEBI said that Axis Securities failed to follow regulatory rules in many areas. These include reporting descriptions and not handling the client fund correctly.
SEBI found that Axis Securities had an incasse compared to the actually compared to the actual holdings in the Depository Accounts in the Enhanced Supervision and Stock Statements reported to the stock axies.
Client funds and securities did not settle
SEBI also found that Axis Securities did not settle client funds and securities as per the preference received from the client. At the same time, the retention statement with account details also failed to get it available.
Customers’ complaints did not resolve properly
In addition, the brokerage firm passed the fine imposed by the stock amenities on it for a low collection of upfront/non -upfront margin. SEBI found that the brokerage firm had transferred the securities of customers with credit balance to the client unpeded securities account. Also, the complaints of customers were not resolved properly.
Due to all these reasons, SEBI imposed a fine of Rs 10 lakh on Axis Securities. This order came from SEBI after inspection of Axis Securities for the period from April 2021 to November 2022.
