*[45Y. Joint Mechanism.
- (1) Notwithstanding anything contained in this
Act or the Securities and Exchange Board of India Act, 1992
or any other law for the time being in force, if any difference
of opinion arises as to whether--
(i) any instrument, being derivative referred to in clause
(a) or money market instrument referred to in clause (b) or
repo referred to in clause (c) or reverse repo referred to
in clause (d) or securities referred to in clause (e) of section
45U of this Act; or
(ii) any instrument, being policy of life insurance under
the Insurance Act, 1938, or the rules or regulations made
thereunder, or, scrips or any other securities referred to
in sub-clauses (i), (ia), (ib), (ic), (id), (ie), (ii), (iia)
and (iii) of clause (h) of section 2 of the Securities Contracts
(Regulation) Act, 1956, is hybrid or composite instrument,
having a component of money market investment or securities
market instrument or a component of insurance or any other
instrument referred to in clause (i) or clause (ii) and falls
within the jurisdiction of the Reserve Bank of India or the
Securities and Exchange Board of India established under section
3 of the Securities and Exchange Board of India Act, 1992
or the Insurance Regulatory and Development Authority established
under section 3 of the Insurance Regulatory and Development
Authority Act, 1999 or the Pension Fund Regulatory and Development
Authority constituted by the Resolution of the Government
of India number F.No. 1(6)2007-PR, dated the 14th November,
2008, such difference of opinion shall be referred to a Joint
Committee consisting of the following, namely:--
(a) the Union Finance Minister -- ex officio Chairperson;
(b) the Governor, Reserve Bank of India -- ex officio Vice-Chairperson;
(c) the Secretary, Department of Economic Affairs in the
Ministry of Finance, Government of India -- ex officio Member;
(d) the Secretary, Department of Financial Services in the
Ministry of Finance, Government of India -- ex officio Member;
(e) the Chairperson, Insurance Regulatory and Development
Authority -- ex officio Member;
(f) the Chairman, Securities and Exchange Board of India
¬ ex officio Member;
(g) the Chairperson, Pension Fund Regulatory and Development
Authority -- ex officio Member.
(2) The Secretary, Department of Financial Services in the
Ministry of Finance, Government of India shall be the convener
of the meetings of the Joint Committee referred to in sub-section
(1).
(3) In case of any difference of opinion referred to in sub-section
(1), any Member of the Joint Committee referred to in clauses
(b), (e), (f) or (g) of that sub- section may make a reference
to the Joint Committee.
(4) The Joint Committee shall follow such procedure as it
may consider expedient and give, within a period of three
months from the date of reference made under sub-section (3),
its decisions thereon to the Central Government.
(5) The decision of the Joint Committee shall be binding
on the Reserve Bank of India, the Securities and Exchange
Board of India, the Insurance Regulatory and Development Authority
and the Pension Fund Regulatory and Development Authority."]
[*Inserted by Securities and Insurance Laws (Amendment and
Validation) Act, 2010,
Chapter II]
|
