Securities And Exchange Board Of India - Subsection
Section 9(1) in Securities and Exchange Board of India (Prohibition of Insider Trading) Regulations, 2015
(1)The board of directors of every listed company and [the board of directors or head(s) of the organisation of every intermediary shall ensure that the chief executive officer or managing director] [Substituted 'market intermediary' by Notification No. SEBI/LAD-NRO/GN/2018/59, dated 31.12.2018 (w.e.f. 15.1.2015).] shall formulate a code of conduct [with their approval] [Inserted by Notification No. SEBI/LAD-NRO/GN/2018/59, dated 31.12.2018 (w.e.f. 15.1.2015).] to regulate, monitor and report trading by its [designated persons and immediate relatives of designated persons] [Substituted 'employees and other connected persons' by Notification No. SEBI/LAD-NRO/GN/2018/59, dated 31.12.2018 (w.e.f. 15.1.2015).] towards achieving compliance with these regulations, adopting the minimum standards set out in Schedule B [(in case of a listed company) and Schedule C (in case of a intermediary)] [Inserted by Notification No. SEBI/LAD-NRO/GN/2018/59, dated 31.12.2018 (w.e.f. 15.1.2015).] to these regulations, without diluting the provisions of these regulations in any manner.[Explanation. - For the avoidance of doubt it is clarified that intermediaries, which are listed, would be required to formulate a code of conduct to regulate, monitor and report trading by their designated persons, by adopting the minimum standards set out in Schedule B with respect to trading in their own securities and in Schedule C with respect to trading in other securities.] [Inserted by Notification No. SEBI/LAD-NRO/GN/2018/59, dated 31.12.2018 (w.e.f. 15.1.2015).]Note: - It is intended that every company whose securities are listed on stock exchanges and every [intermediary] [Substituted 'market intermediary' by Notification No. SEBI/LAD-NRO/GN/2018/59, dated 31.12.2018 (w.e.f. 15.1.2015).] registered with SEBI is mandatorily required to formulate a code of conduct governing trading by [designated persons and their immediate relatives] [Substituted 'its employees' by Notification No. SEBI/LAD-NRO/GN/2018/59, dated 31.12.2018 (w.e.f. 15.1.2015).]. The standards set out in the [schedule] [Substituted 'schedules' by Notification No. SEBI/LAD-NRO/GN/2018/59, dated 31.12.2018 (w.e.f. 15.1.2015).] are required to be addressed by such code of conduct.
