Shorten the settlement cycle from the existing T+3 rolling settlement to T+2 w.e.f. April 01, 2003

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..... on T+3 basis. In view of the shortening of the settlement cycle, the activity schedule has been revised and the following activity schedule shall be adhered to by the stock exchanges. The activity schedule has been finalised through a consultative process with various market participants viz. stock exchanges, broker associations, custodians, depositories, depository participants etc. S. No. Day Time Description of activity 1 T Trade Day 2 T+1 By .....

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..... by the broker within 24 hours of the payout. (5) The stock exchanges shall design an alternative clearing and settlement system in respect of companies whose shares have not been dematerialised to align the clearing and settlement system for such stocks with the T + 2 rolling settlement. (6) The stock exchanges shall not normally permit changes in the Client ID and would keep a strict vigil on cases of client code modification and would implement a monetary penalty structure that would escalate with the number of such incidences. Besides, the exchanges may take necessary action against members making repeated changes. However, genuine mistakes may be allowed to be rectified. (7) Stock exchanges would enco .....

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..... ory account and bank account. (3) System for online transmitting the client wise pay-in obligation to depository so that the depository in turn could download the security pay-in instructions to depository participants in respect of the investor maintaining account with them. (4) System wherein the pay-out files could be sent to the clearing banks with a request to online credit to the bank accounts of the clients. (5) The stock exchanges would support development of front end software for brokers to map the Client ID through abbreviated keys to facilitate faster order entry for inserting the unique client code speedily. The stock exchanges are advised to develop a roadmap for implementation of t .....

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