(1) Every participant shall maintain the following records and documents, namely :—
(a) records of all the transactions entered into with a depository and with a beneficial owner;
(b) details of securities dematerialised, rematerialised on behalf of beneficial owners with whom it has entered into an agreement;
(c) records of instructions received from beneficial owners and statements of account provided to beneficial owners; and
(d) records of approval, notice, entry and cancellation of pledge or hypothecation, as the case may be.
(2) Every participant shall make available for the inspection of the depository in which it is a participant all records referred to in sub-regulation (1).
(3) Every participant shall allow persons authorised by the depository in which it is a participant to enter its premises during normal office hours and inspect its records.
(4) Every participant shall intimate the Board the place where the records and documents are maintained.
(5) Subject to the provisions of any other law, the participant shall preserve records and documents for a minimum period of eight years.
Manner of keeping records
67. Where records are kept electronically by the participant it shall ensure that the integrity of the data processing systems is maintained at all times and take all precautions necessary to ensure that the records are not lost, destroyed or tampered with and in the event of loss or destruction, ensure that sufficient back up of records is available at all times at a different place.
Records to be maintained depository-wise 27
68. If a participant enters into an agreement with more than one depository, it shall maintain the records specified in regulation 66 separately in respect of each depository.
Prohibition of assignment
69. No participant shall assign or delegate its functions as participant to any other person, without the prior approval of the depository.
Agreement by issuer
70. Every issuer whose securities have been declared as eligible to be held in dematerialised form in a depository shall enter into an agreement with the depository in accordance with the provisions of regulation 43:
Provided that no agreement shall be required to be entered into in case,—
(i) the depository is the issuer of securities; or
(ii) the State or the Central Government is the issuer of Government securities.
Manner of handling share registry work
71. All matters relating to transfer of securities, maintenance of records of holders of securities, handling of physical securities and establishing connectivity with the depositories shall be handled and maintained at a single point i.e. either in-house by the issuer or by a Share Transfer Agent registered with the Board.
Redressal of investor grievances
72. Every issuer or its agent or any person who is registered as an intermediary under this regulation, shall redress the grievances of beneficial owners within thirty days of the date of receipt of the complaint and keep the depository informed about the number and nature of grievances redressed by it and the number of grievances pending before it.
Investor Protection Fund