Dated: 18th April 2013
NOTICE
TO THE TRADING MEMBERS OF THE CALCUTTA STOCK EXCHANGE LIMITED REGARDING CONSTITUTION OF ADVISORY COMMITTEE OF THE EXCHANGE
NOTICE is hereby issued to all trading members of the Exchange that in terms of the SEBI Notification dated June 20, 2012, SEBI has mandated
i. The constitution of an Advisory Committee of the Governing Board for every recognised stock exchange to advise the governing board on non –regulatory and operational matters including product design, technology, charges and levies.
ii. The Advisory committee shall comprise of the trading members of the Exchange
iii. The Chairman of the Governing Board would be the head of the advisory committee and the MD & CEO shall be the permanent invitee to every meeting of the advisory committee.
iv. The Advisory committee shall meet at least four times a year with a maximum gap of three months between two meetings.
v. The recommendations of the Advisory Committee shall be placed in the ensuing meeting of the Governing Board for its consideration and appropriate decision and such recommendations along with the decision of the governing board on the same shall be disclosed on the website of the Exchange.
The aforesaid matter was taken up for discussion in the Board and apart from the above the Governing Board has advised to include the following for constitution of Advisory committee:
1. The Advisory committee shall comprise of the trading members of the Exchange not exceeding five/seven in number. However the Governing Board of the Exchange can increase the number of members of the Committee based on the requirement and also consider the representation from other Exchanges/Trading Members.
2. One-Third Members of the Advisory Committee will retire by rotation every year but eligible to be re-nominated for another term. The term should not be more than three years. One Member would be eligible for advisory Committee membership for not more than two terms but member can re-nominate after cooling off period of one year.
3. The trading members with following qualification may put in their nominations for being selected as members of the said committee.
ELIGIBILITY CRITERIA
i. There should be no pending litigation / legal cases filed against the trading member or filed by the trading member against the Exchange
ii. There should not be any non-compliance of Arbitration Cases against the Trading Member
iii. There should not be any default in payment of dues to the Exchange and SEBI
iv. There should be no Investor Grievance pending against the member.
vi. The trading members are fit and proper persons in terms of Regulation 20 of SECC regulations
Conditions Applicable to Company/ Body Corporate
A Designated Director/Nominee of Trading Member which is a Company/ body corporate, duly nominated by the Board of Directors of such company / body corporate, shall be eligible to be selected a Member of the Advisory Committee subject to the other conditions as may be prescribed by the Board of The Exchange.
Designated Partner or Designated Director/ Nominee as Member
Not more than one designated partner of a partnership firm or a Designated Director/ Nominee of a Company/body corporate shall be eligible to be a Member of the Advisory Committee at the same time.
The selected person shall cease to be a member of the advisory committee if the member: -
Ø Fails to fulfill the qualification as prescribed by the Board of the Exchange/SEBI.
Ø Be found to be of Unsound mind
Ø Absents himself from the meeting of the advisory committee for continuous 3(Three) meetings without leave of absence from the Committee.
Ø Death
Ø Criminal Prosecution
Ø Resignation
Ø Is Disqualified by SEBI
Ø Has been declared a defaulter or expelled by any Stock Exchange.
5. Exchange will invite nominations from the trading members giving them at least a notice for 7 days. Based on the applications received by the Exchange, Board of the Exchange will deliberate on the nominations in its meeting with the trading members and select the trading members for the advisory committee.
All the interested Trading Members may put in their nominations within 27th April, 2013 in a covered and sealed envelope addressed to The MD & CEO, The Calcutta Stock Exchange Limited, 7 Lyons Range, Kolkata-70001.
For The Calcutta Stock Exchange Ltd.
(B Madhav Reddy)
MD & CEO