(1) No employee of the Board who has retired from service shall, within a period of 38 [one] years from the date when he finally ceases to be in the Board's service, accept or undertake a commercial employment except with the previous approval in writing of the competent authority.
Provided that an employee who was permitted by the Competent authority to take up 38 Substituted for “two” by SEBI (Employees’ Service) (Third Amendment) Regulations, 2018, w.e.f.
13.08.2018.
commercial employment during his leave preparatory to retirement or during refused leave shall not be required to obtain subsequent permission for his continuance in such employment after retirement.
(2) For the purpose of this Regulation, "commercial (2) employment" means:
(a) Employment in any capacity including that of an agent under a Company, Cooperative Society, firm or individual engaged in trade, or commercial, industrial or professional business and also includes a directorship of such a company and partnership of such firm but does not include employment under a body corporate wholly or substantially held or controlled by the Board.
(b) Setting up a practice, either independently or as partner of a firm, as adviser or consultant in matters in respect of which the retired officer—
(i) has no professional qualifications and the matters in respect of which the practice is to be set up or is carried on are relatable to his official knowledge or experience, or
(ii) the matters in respect of which such practice is to be set up are such as are likely to give his clients an unfair advantage by reason of his previous official position, or
(c) Undertaking work involving liaison or contact with the offices or officers of the Board.
Explanation : For the purpose of this clause, "employment under a cooperative society" includes the holding of any office, whether elective or otherwise such as that of President, Chairman, Manager, Secretary, Treasurer and the like, by whatever name called in such society.
(3) Notwithstanding anything contained in sub-regulation (1), no employee of the Board, including employees on contract shall within a period of 39 [ o n e ] years from the date that he finally ceases to be in the Board's service, accept or undertake an employment or be in any manner associated with an intermediary registered with the Board, except with the prior written approval of the Competent Authority:
40 [Provided that the employee would be required to seek fresh approval from the Board in the event of seeking employment with another intermediary registered with the Board or associating in any other manner with another intermediary registered with the Board, within the period of one year:]
Provided 41 [further that] before refusing approval the competent authority shall give a hearing to the concerned employee. A copy of the decision taken shall be communicated by the Competent Authority to the concerned employee.
42 [(4)]The competent authority while granting such approval shall satisfy itself regarding the appropriateness of granting the approval, having regard to dealing which the employee may have had with the said intermediary while in the services of the Board; and may impose such conditions as may be necessary having regard 39 Substituted for “two” by the SEBI (Employees’ Service) (Third Amendment) Regulations, 2018, w.e.f.
13.08.2018.
40 Inserted ibid.
41 Substituted for “, however” by the SEBI (Employees’ Service) (Third Amendment) Regulations, 2018, w.e.f. 13.08.2018.
42 Numbered by the SEBI (Employees’ Service) (Third Amendment) Regulations, 2018, w.e.f. 13.08.2018.
to the circumstances of the case including 43 [prohibiting the employee from representing the intermediary in any manner before the Board.]
44 [***] 45 [(5)] The approval/refusal under this regulation shall be communicated to the employee by the Competent Authority within a period of 90 days from the date of receipt of the application for such approval, failing which the approval shall be deemed to have been granted.
Employment of family members with an intermediary registered with the Board