CS Professional · IFSCA - Regulations, Listing and Compliances · Capital Market Intermediaries
After a hearing, IFSCA finds that a registered intermediary in GIFT IFSC repeatedly violated its regulations and endangered investor interests. Which of the following is a measure available to the Authority against the intermediary's registration?
IFSCA can suspend or cancel the intermediary's certificate of registration for serious or repeated violations that harm investors, in addition to monetary penalties and directions. It has no power to take over shares or make clients directors.
- ASuspending or cancelling the certificate of registrationCorrect
- BTransferring the intermediary's shares to the Authority
- CAppointing the intermediary's clients as its directors
- DConverting the registration into a government bond
Explanation
Among the actions open to the Authority for serious or repeated violations are suspension or cancellation of the registration, alongside penalties and directions. The other options are not enforcement tools known to the regime.
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