The Bombay Stock Exchange (BSE) on June 12, 2026, issued notice on Guidelines in pursuance of amendment to SEBI KYC (Know Your Client) Registration Agency (KRA) Regulations, 2011.
In continuation of SEBI circulars and exchange guidelines on KYC simplification and risk management under the KYC Registration Agency (KRA) framework, Trading Members are required to ensure strict compliance with KYC validation norms. Additionally, as per SEBI’s directive on centralized reporting of investor demise, all regulated entities must immediately suspend transactions, block debit activities, and inactivate or close trading accounts upon receiving such information from KRAs, which is shared on a daily basis.
It has been notified that clients whose KYC status remains unvalidated or marked as “On Hold” by KRAs (for both Aadhaar and non-Aadhaar based documents) for the period from May 01, 2026 to May 31, 2026 will face trading restrictions. With effect from June 26, 2026, such clients will neither be permitted to trade nor allowed to square off any open positions until their KYC is duly validated. Any existing open positions will be allowed to expire as per their respective contract timelines.
The Exchange will identify and flag such non-compliant PANs as “Not Permitted to Trade” based on data received from KRAs. However, once the KYC status is validated, trading access will be restored on a T+1 basis. Trading Members can access the list of affected clients through the specified file path provided by the Exchange for necessary compliance and action.
[Notice No. 20260612-26]
