Section 15 in The Securities And Exchange Board Of India (Depositories And Participants) Regulations, 1996
15. Procedure where certificate of commencement of business is not granted.-
(1)If the Board, after considering the matters specified in sub-regulation (1) of regulation 13 and making physical verification under sub-regulation (2) of that regulation, is of the opinion that the depository shall not be granted a certificate of commencement of business, it may either-(a)direct the depository to conform to the matters specified in regulation 13; or(b)reject the application after giving the applicant an opportunity of being heard.(2)The decision of the Board to reject the application shall be communicated to the depository in writing within thirty days of such decision, stating therein the grounds on which the application has been rejected.
