Section 18(3) in Securities Contracts (Regulation) (Stock Exchanges and Clearing Corporations) Regulations, 2018
(3)No person resident outside India shall, directly or indirectly, either individually or together with persons acting in concert, acquire or hold more than five per cent of the paid up equity share capital in a recognised clearing corporation.Provided that,-(a)a foreign stock exchange;(b)a foreign depository;(c)a foreign banking company;(d)a foreign insurance company;(e)a foreign commodity derivatives exchange; and(f)a bilateral or multilateral financial institution approved by the Central Government,may acquire or hold, either directly or indirectly, either individually or together with persons acting in concert, upto fifteen per cent of the paid up equity share capital of a recognized clearing corporation.Explanation. - For the purposes of this proviso, the persons referred to in clauses (a) to (f) shall mean persons recognised/ incorporated outside India.
