(1) Every merchant banker shall keep and maintain the following books of account, records and documents namely :—
(a) a copy of balance sheet as at the end of the each accounting period;
(b) a copy of profit and loss account for that period;
(c) a copy of the auditor‘s report on the accounts for that period45[;]
(d) a statement of financial position.
46[(e) Records and documents pertaining to due diligence exercised in pre-issue and post –issue activities of issue management and in case of takeover, buyback and delisting of securities.]
42 Words ―after June 30th, 1998" inserted by the Securities and Exchange Board of India (Merchant Bankers) (Amendment) Regulations, 1998 w.e.f, 21-01-1998.
43 Proviso to regulation 13A was inserted by the Securities and Exchange Board of India (Merchant Bankers) (Amendment) Regulations, 1999 w.e.f, 17.11.1999.
44 Proviso to regulation 13A was inserted by the Securities and Exchange Board of India (Merchant Bankers) (Amendment) Regulations, 2010 w.e.f, 13.04.2010.
45 Substituted for the full stop by the Securities and Exchange Board of India (Merchant Bankers) (Second) (Amendment) Regulations, 2011 w.e.f. 16-08-2011.
46 Inserted by the Securities and Exchange Board of India (Merchant Bankers) (Second) (Amendment) Regulations, 2011 w.e.f. 16-08-2011.
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(2) Every merchant banker shall intimate to the Board the place where the books of account, records and documents are maintained.
(3) Without prejudice to sub-regulation (1), every merchant banker shall, after the end of each accounting period furnish to the Board copies of the balance sheet, profit and loss account and such other documents for any other preceding five accounting years when required by the Board.
Submission of half-yearly results.
15. Every merchant banker shall furnish to the Board half-yearly unaudited financial results when required by the Board with a view to monitor the capital adequacy of the merchant banker.
Maintenance of books of account, records and other documents.
16. The merchant banker shall preserve the books of account and other records and documents maintained under regulation 14 for a minimum period of five years.
Report on steps taken on auditor’s report.
17. Every merchant banker shall, within two months from the date of the auditor‘s report, take steps to rectify the deficiencies made out in the auditor‘s report.
Appointment of lead merchant bankers.
18.47[***] Restriction on appointment of lead managers.
19. 48[***] Responsibilities of lead managers.