SEBI grants PAN exemption for government, court officials
02 Jul 2008
Mumbai: The Securities and Exchange Board of India (SEBI) has exempted certain categories of investors, including officials from central and state governments and those appointed by the courts, from mandatory presentation of the Permanent Account Number (PAN) for transactions in the securities market.
The market regulator had, last year, made it mandatory for all investors to have the PAN while transacting in the securities market.
SEBI had since received representations from certain categories of investors requesting exemption from mandatory presentation of PAN.
Officials appointed by courts, who will be exempted from presenting the pan while transacting in the capital market, include official liquidator and court receiver, SEBI clarified.
However, a SEBI statement said this exemption would be subject to the intermediaries verifying the veracity of the claim of the specified organisations on the basis of documentary evidence in support of their claim for such an exemption.
The stock exchanges and depositories are advised to make necessary amendments to the relevant bye-laws, rules and regulations for the implementation of the same, the statement added.
They would also be required to bring the provisions of the SEBI guideline to the notice of the member brokers/ clearing members of the exchange and depository participants of the depositories.
The SEBI circular has been displayed on the website of the Bombay Stock Exchange.
