Section 20 in National Housing Bank Employees (Conduct) Regulations, 1994
20. Speculations in stocks and shares and investments.
- No employee shall speculate in any stock, share, or securities or commodities or valuables of any descriptions or shall make or permit any member of his family any investments which are likely to embrass or influence him in the discharge of his official duties.No employee shall make investments in the acquisition of shares/debentures etc., in his name or in the names of spouse/children/brothers/father/mother/step-mother/step-children, etc., wholly dependent on the employee out of quota reserved for friends and associates of directors of the company. If an employee desires to acquire shares/debentures etc. out of the promoters' quota of a company under some exceptional circumstances (e.g. when a close relative of the applicant is the chief promoter/director of the issuer company) he shall seek prior permission of the National Housing Bank for such acquisition. No employee shall apply for or accept allotment of shares/securities out of the employees' quota of any company. Provided that nothing in this regulation shall be deemed to prohibit an employee from making a bona fide investment of his own funds in such manner as he may wish.Explanation I. - Frequent purchase or sale or both of shares or securities or other investments shall be deemed to be speculation for the purpose of this regulation.Explanation II. - Acquisition or acceptance of shares or any other security by any employee or by any member of his family from out of the Promoters' Quota of any company or organisation having officing dealings with the National Housing Bank shall be deemed to be investment which is likely to embarss or influence the employee in the discharge of this official duties.
