Sebi Cancels 40 Registrations for Unpaid Renewal Fees

The Securities and Exchange Board of India (Sebi) has revoked the registration certificates of 15 investment advisers and 25 research analysts. This action follows their failure to submit mandatory renewal fees.

The market regulator initiated these cancellations because the entities did not pay fees required every five years to maintain valid registrations. These renewals are mandated under the Sebi (Investment Advisers) Regulations, 2013, and the Sebi (Research Analysts) Regulations, 2014. Sebi had issued formal notices seeking explanations, but received no responses within the stipulated timeframes.

Key Cancellations

• 15 investment advisers had their registrations cancelled.
• 25 research analysts also faced cancellation.
• Renewal fees are required every five years.

This regulatory measure ensures that entities with expired registrations cannot continue to operate or misuse their official status. The regulations specify a clear process for maintaining credentials, which includes timely fee payments. Non-compliance triggers a review and subsequent action by the regulator.

Even with cancelled registrations, these entities retain responsibility for all liabilities stemming from their past activities. This includes maintaining proper records, addressing any investor grievances that arise, and ensuring continuity of client services for existing obligations. The cancellations are effective immediately.

Impacted Entities

• Capvision Investment Advisor
• Wise Finserv
• Money India Research
• Karvy Stock Broking
• Finquest Securities