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CS Professional · IFSCA - Regulations, Listing and Compliances · Capital Market Intermediaries

Orion Capital Ltd holds an IFSCA registration as a capital market intermediary. It now wishes to start an additional category of intermediary activity that is not covered by its present registration. What is the correct position?

Orion must apply to IFSCA and get registration or approval for the additional activity before starting it. Registration is activity-specific, so an existing registration does not extend to other categories, and later intimation or a charter amendment would not make the activity lawful.

  1. AIt may start immediately because it is already registered
  2. BIt must inform IFSCA after six months of starting the activity
  3. CIt needs to apply to IFSCA for registration or approval for the additional activity before commencing itCorrect
  4. DIt need only amend its memorandum of association

Explanation

Registration is activity-specific. An entity may carry on only the activities for which IFSCA has granted registration, so an additional category requires prior application and approval. Informing IFSCA later or amending the charter does not authorise the activity.

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