Securities and Exchange Board of India (Procedure for Holding Enquiry by Enquiry Officer and Imposing Penalty) (Amendment) Regulations, 2003

F. No. SEBI/LAD/DOP/ 22093 /2003 .In exercise of the powers conferred by section 30 of the Securities and Exchange Board of India Act, 1992 (15 of 1992), the Board hereby makes the following regulations to amend the Securities and Exchange Board of India(Procedure for Holding Enquiry by Enquiry Officer and Imposing Penalty) Regulations, 2002, namely:-
1. (i) These regulations may be called the Securities and Exchange Board of India (Procedure for Holding Enquiry by Enquiry Officer and Imposing Penalty) (Amendment) Regulations, 2003.
(ii) They shall come into force on the date of their publication in the Official Gazette.
2. In the Securities and Exchange Board of India (Procedure for Holding Enquiry by Enquiry Officer and Imposing Penalty) Regulations, 2002(hereinafter referred to as 'the said Regulations');
(i) for regulation 6 of the said Regulations, the following regulation shall be substituted, namely –

"Issuance of notice
6. (1) Where it is proposed to hold an enquiry against an intermediary under these regulations, an officer of the Board specified by the Chairman or the Member in this behalf, shall issue to the intermediary a notice stating therein the contravention of the relevant regulations alleged to have been committed by the intermediary.
(2) There shall be annexed to the notice issued under sub-regulation (1) copies of documents relied on by the Board and extracts of relevant portions of documents containing the findings arrived at in any investigation or inspection held by the Board in respect of the alleged contravention.
(3) The notice under sub-regulation (1) shall require the intermediary –
i. to submit, within a period to be specified in the notice ordinarily not exceeding twenty-one days, a written statement, if any to the enquiry officer appointed under sub-regulation (1) of regulation 5, and
ii. to specify whether he desires to be heard in person before the enquiry officer."
(ii) in regulation 8 of the said Regulations, after the words " shall submit" and before the words "his written statement" the words " to the enquiry officer" shall be inserted.
(iii) in regulation 16 of the said Regulations, in sub-regulation (5), before the bracket and figure ‘(4)’, the bracket, figure and word ‘(3) or’ shall be inserted.