Capital markets regulator Sebi has amended rules which require vault managers and custodians to seek the watchdog’s prior approval in case of change in control.
The changes have been made to streamline the process of providing approval to the proposed change in control of the entities.
In a notification, the Securities and Exchange Board of India (Sebi) said that the vault managers and Custodians will have to obtain prior approval of the Board in case of change in control in such a manner as specified by the regulator.
To give this effect, Sebi has amended rules governing custodian and vault managers and the new rule has become effective from January 17.
Vault manager is regulated as a Sebi intermediary for providing vaulting services meant for gold deposited to create electronic gold receipts (EGRs). The obligations of the vault manager include accepting deposits, storage and safekeeping of gold, creation as well as withdrawal of EGR, grievance redressal and periodic reconciliatio
| Subscribe To Our Free Newsletter |
