Regulation 14 - Functions and Obligations of Self Regulatory Organization - Securities and Exchange Board of India (Self Regulatory Organisations) Regulations, 2004

Functions and Obligations of Self Regulatory Organization. 14. (1) A Self Regulatory Organization shall always abide by the directions of the Board. (2) The Self Regulatory Organization shall be responsible for investor protection and education of investors or its members and shall ensure observance of Securities Laws by its members. (3) The Self Regulatory Organization shall specify standard of conduct for its members and also shall be responsible for the implementation of the same by its members. (4) The Self Regulatory Organization shall conduct inspection and audit of its members, on regular basis, through independent auditors. (5) The Self Regulatory Organization shall submit its annual report to the Board. (6) The Self Regulatory Organization shall treat all its members and the applications for membership in a fair and transparent manner. (7) The Self Regulatory Organization may collect admission and membership fees from its members for carrying out the purposes of these regulations. (8) The Self Regulatory Organization shall promptly inform the Board of violations of the provisions of the Act, the rules, the regulations, the directions, the circulars or the guidelines by any of its members. (9) The Self Regulatory Organization shall conduct screening and certification tests for its members, agents and such other persons as it may determine. (10) Self Regulatory Organization shall conduct training programmes for its members or agents and also conduct awareness programmes for securities market investors. (11) The Self Regulatory Organization shall make endeavors for introduction of best business practices amongst its members. (12) The Self Regulatory Organization shall act in utmost good faith and shall avoid conflict of interest in the conduct of its functions. (13) The Self Regulatory Organization shall comply with the norms of corporate governance as applicable to listed companies. (14) The Self Regulatory Organization may discharge such other functions and obligations as may be specified by the Board, from time to time.