The National Stock Exchange (NSE) on April 17, 2026, issued a circular regarding Ease of Doing Business - Rationalization and Standardization of penalties levied on Trading Members.
The following has been stated: -
•The circular standardizes and updates penalties for Trading Members by introducing new violations and modifying existing ones as approved by SEBI, with immediate applicability to ongoing and future cases.
•It empowers authorities to impose additional disciplinary actions like suspension or restrictions, while minor penalties below ₹1,000 are replaced with advisory notices, and procedural lapses follow a graded penalty system.
•Cases involving high cumulative penalties or serious violations may be escalated for stricter action, and all collected penalties are credited to the Investor Protection Fund.
[Circular No: 16/2026]
