Bare Acts

The Securities Contracts (Regulation) Act, 1956

An Act to prevent undesirable transactions in securities by regulating the business of dealing therein, by providing for certain other matters connected therewith.

प्रतिभूति संविदा (विनियमन) अधिनियम, 1956

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Act Details

Act Number:

Act Year:

1956

Location:

Enactment Date:

9/4/1956

Enforcement Date:

20-02-1957

Ministry:

Ministry of Finance

Department:

Department of Economic Affairs

Full List of Securities Act Sections

Section 1 to Section 32

Section 1

Short title, extent and commencement.

Section 2

Definitions.

Section 2A

Interpretation of certain words and expressions.

Section 3

Application for recognition of stock exchanges.

Section 4

Grant of recognition to stock exchanges.

Section 4A

Corporatisation and demutualisation of stock exchanges.

Section 4B

Procedure for corporatisation and demutualisation.

Section 5

Withdrawal of recognition.

Section 6

Power of Central Government to call for periodical returns or direct inquiries to be made.

Section 7

Annual reports to be furnished to the Central Government by stock exchanges.

Section 7A

Power of recognised stock exchange to make rules restricting voting rights, etc.

Section 8

Power of Central Government to direct rules to be made or to make rules.

Section 8A

Clearing corporation.

Section 9

Power of recognised stock exchanges to make bye-laws.

Section 10

Power of Securities and Exchange Board of India to make or amend bye-laws of recognised stock exchanges.

Section 11

Power of Central Government to supersede governing body of a recognised stock exchange.

Section 12

Power to suspend business of recognised stock exchanges.

Section 12A

Power to issue directions.

Section 13

Contracts in notified areas illegal in certain circumstances.

Section 13A

Additional trading floor.

Section 14

Contracts in notified areas to be void in certain circumstances.

Section 15

Members may not act as principals in certain circumstances.

Section 16

Power to prohibit contracts in certain cases.

Section 17

Licensing of dealers in securities in certain areas.

Section 17A

Public issue and listing of securities referred to in sub-clause (ie) of clause (h) of section 2.

Section 18

Exclusion of spot delivery contracts from sections 13, 14, 15 and 17.

Section 18A

Contracts in derivatives.

Section 19

Stock exchanges other than recognised stock exchanges prohibited.

Section 20

[Omitted.].

Section 21

Conditions for listing.

Section 21A

Delisting of securities.

Section 22

Right of appeal against refusal by stock exchanges to list securities of public companies.

Section 22A

Right of appeal to Securities Appellate Tribunal against refusal of stock exchange to list securities of public companies.

Section 22B

Procedure and powers of Securities Appellate tribunal.

Section 22C

Right to legal representation.

Section 22D

Limitation.

Section 22E

Civil Court not to have jurisdiction.

Section 22F

Appeal to High Court.

Section 23

Penalties.

Section 23A

Penalty for failure to furnish information, return, etc.

Section 23B

Penalty for failure by any person to enter into an agreement with clients.

Section 23C

Penalty for failure to redress Investors grievances.

Section 23D

Penalty for failure to segregate securities or moneys of client or clients.

Section 23E

Penalty for failure to comply with provision of listing conditions or delisting conditions or grounds.

Section 23F

Penalty for excess dematerialisation or delivery of unlisted securities.

Section 23G

Penalty for failure to furnish periodical returns, etc.

Section 23GA

Penalty for failure to conduct business in accordance with rules, etc.

Section 23H

Penalty for contravention where no separate penalty has been provided.

Section 23I

Power to adjudicate.

Section 23J

Factors to be taken into account by the adjudicating officer.

Section 23JA

Settlement of administrative and civil proceedings.

Section 23JB

Recovery of amounts.

Section 23JC

Continuance of proceedings.

Section 23K

Crediting sum realised by way of penalties to Consolidated Fund of India.

Section 23L

Appeal to Securities Appellate Tribunal.

Section 23M

Offences.

Section 23N

Composition of certain offences.

Section 23O

Power to grant immunity.

Section 24

Offences by companies.

Section 25

Certain offences to be cognizable

Section 26

Cognizance of offences by courts.

Section 26A

Establishment of Special Courts.

Section 26B

Offences triable by Special Courts.

Section 26C

. Appeal and Revision.

Section 26D

Application of Code to proceedings before Special Court.

Section 26E

Transitional provisions.

Section 27

Title to dividends.

Section 27A

Right to receive income from collective investment scheme.

Section 27B

Right to receive income from mutual fund

Section 28

Act not to apply in certain cases.

Section 29

Protection of action taken in good faith.

Section 29A

power to delegate

Section 29B

Powers of the Securities and Exchange Board of India not to apply to International Financial Services Centre.

Section 30

Power to make rules.

Section 30A

Special provisions related to commodity derivatives.

Section 30B

Special provisions related to pooled investment vehicle.

Section 31

Power of Securities and Exchange Board of India to make regulations.

Section 32

Validation of certain acts.