ARG COMPLIANCE MANUAL - Rathi Online

SUB-BROKER REMISER AND AUTHORISED PERSONSREGISTRATION PROCESS1)Remiser Concept - Only in BSE - normally the exchange allots aRemiser registration in one montha)A member can employ a remiserb)A remiser has to operate from broker’s officec)A broker cannot remunerate with a share exceeding fifty percent of the brokerage charged to theclient introduced by remiserd)A Remiser cannot be a corporate bodye)A Remiser cannot be a sub broker elsewheref)There is no fees charged by the exchange.Reasons for rejectiona) Name mismatch in One Pager provided by the franchisee & his PAN no. We have tothereafter provide a affidavit and after doing so again the exchange takes one month to allotregistration2) Subbroker – In BSE – normally the exchange allots within 2 months ,In NSE – normally the exchange takes four to six monthsa)A sub-broker may be an individual, a partnership firm or a corporate. In case of corporate orpartnership firm, the directors or partners and in the case of an individual sub-broker applicant,each of them shall comply with the following requirements:b)They shall not be less than 21 years of age;c)They shall not have been convicted of any offence involving fraud or dishonesty;d)They shall have at least passed 12th standard equivalent examination from an institutionrecognized by the Government;e)They should not have been debarred by SEBIf)The corporate entities applying for sub-brokership shall have a minimum paid up capital of Rs. 5Lakh and it shall identify a dominant shareholder who holds a minimum of 51% shares either singlyor with the unconditional support of his/her spouse.g)There is a fees of Rs10000/- for a period of five yearsh)Broker cannot share a brokerage of more than 1.5% of the brokerage if charged maximum allowedto client which is 2.5%i)If the proposed subbroker is only 10 th pass then a experience prior to 1992 is required to besubmittedj)In case of a married woman desiring to become a subbroker requires to submit a marriagecertificate or a affidavit for name change on a fifty rupees stamp paper92