Regulation 18E - Definitions - Securities and Exchange Board of India (Stock Brokers) Regulations, 1992

1 [Chapter IVA INSTITUTIONAL MECHANISM FOR PREVENTION AND DETECTION OF FRAUD OR MARKET ABUSE Definitions- 18E. For the purpose of this chapter, unless the context otherwise requires (a) Designated Director shall have the same meaning as assigned to it under the Prevention of Money-laundering (Maintenance of Records Rules), 2005; (b) fraud shall have the same meaning as assigned to it under the Securities and Exchange Board of India (Prohibition of Fraudulent and Unfair Trade Practices relating to Securities Market) Regulations, 2003; (c) employees shall include key managerial personnel, senior management, Designated Directors, other employees and analogous or equivalent persons of the stock broker; (d) Key managerial personnel shall have the same meaning as assigned to it under sub-section (51) of section 2 of the Companies Act, 2013; (e) market abuse includes a manipulative, fraudulent and unfair trade practice including through a mule account which may contravene any of the provisions of the Securities and Exchange Board of India (Prohibition of Fraudulent and Unfair Trade Practices relating to Securities Market) Regulations, 2003 or the Securities and Exchange Board of India (Prohibition of Insider Trading) Regulations, 2015 or Section 12A of the Act; (f) mule account shall have the same meaning as assigned to it under the Securities and Exchange Board of India (Prohibition of Fraudulent and Unfair Trade Practices relating to Securities Market) Regulations, 2003; (g) senior management shall have the same meaning as assigned to it under the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015; (h) suspicious activity shall mean a fraudulent or suspicious activity in respect of know your client requirements, suspicious order placing or trading activities. ] ***************** NOTES:- 1. Inserted vide Notification No. SEBI/LAD-NRO/GN/2024/186 dated 27-06-2024