Description

BSE updates Enhanced Surveillance Measure framework with securities being added, moved between stages, and removed effective October 20, 2025.

Summary

BSE has announced comprehensive updates to its Enhanced Surveillance Measure (ESM) framework effective October 20, 2025. The circular identifies 4 new securities being added to ESM, 3 securities moving to higher ESM stages, 14 securities moving to lower ESM stages, and 28 securities being removed from the framework entirely. The ESM framework applies stricter surveillance and trading restrictions to securities exhibiting abnormal price movements or trading patterns.

Key Points

  • 4 securities newly shortlisted for ESM framework inclusion
  • 3 securities escalated to higher ESM stages due to continued surveillance concerns
  • 14 securities de-escalated to lower ESM stages showing improved trading behavior
  • 28 securities completely removed from ESM framework
  • Changes effective from October 20, 2025
  • Framework includes both mainboard and SME segment securities

Regulatory Changes

Securities under ESM framework are subject to:

  • Enhanced margin requirements (typically 100% upfront margin)
  • Stricter position limits
  • Trade-for-trade settlement (no intraday trading)
  • Additional disclosure requirements
  • Staged approach with progressively stringent measures at higher stages

Securities Details

Newly Added to ESM (4 securities):

  1. Chartered Capital & Investment Ltd (511696 / INE953B01010)
  2. Evoq Remedies Ltd# (543500 / INE0JVD01011) - SME
  3. Jeevan Scientific Technology Ltd (538837 / INE237B01018)
  4. Organic Coatings Ltd (531157 / INE412E01011)

Moving to Higher ESM Stage (3 securities):

  1. Anka India Ltd (531673 / INE067C01025)
  2. Elango Industries Ltd (513452 / INE594D01018)
  3. Milestone Furniture Ltd# (541337 / INE424Z01011) - SME

Moving to Lower ESM Stage (14 securities):

  1. Agio Paper & Industries Ltd (516020 / INE112C01011)
  2. Anand Rayons Ltd (542721 / INE02GA01012)
  3. Dhanashree Electronics Ltd (542679 / INE413F01016)
  4. Flora Corporation Ltd (540267 / INE318U01016)
  5. Gagan Gases Ltd (524624 / INE076D01016)
  6. GHV Infra Projects Ltd (505504 / INE809Q01020)
  7. Norben Tea & Exports Ltd (519528 / INE369C01017)
  8. Rap Corp Ltd (531583 / INE483D01014)
  9. Refex Renewables & Infrastructure Ltd (531260 / INE332F01018)
  10. Sea TV Network Ltd (533268 / INE351L01016)
  11. Shree Pacetronix Ltd (527005 / INE847D01010)
  12. Starcom Information Technology Ltd (531616 / INE347I01010)
  13. Sunraj Diamond Exports Ltd (523425 / INE459D01014)
  14. SVS Ventures Ltd# (543745 / INE0MID01012) - SME

Removed from ESM Framework (28 securities):

  1. AGS Transact Technologies Ltd (543451 / INE583L01014)
  2. Bemco Hydraulics Ltd (522650 / INE142E01022)
  3. Bihar Sponge Iron Ltd (500058 / INE819C01011)
  4. Containerway International Ltd (540597 / INE319U01022)
  5. CWD Ltd# (543378 / INE0H8H01019) - SME
  6. DAPS Advertising Ltd# (543651 / INE975Z01012) - SME
  7. Darjeeling Ropeway Company Ltd~ (539770 / INE830S01014)
  8. Delphi World Money Ltd (533452 / INE726L01019)
  9. DMR Engineering Ltd# (543410 / INE07L501010) - SME
  10. Euphoria Infotech (India) Ltd# (544094 / INE0PYT01018) - SME
  11. Fine Line Circuits Ltd (517264 / INE087E01011)
  12. GACM Technologies Ltd (570005 / INE224E01036)
  13. Glittek Granites Ltd (513528 / INE741B01027)
  14. Inland Printers Ltd (530787 / INE055O01033)
  15. Inter State Oil Carrier Ltd (530259 / INE003B01014)
  16. Jai Mata Glass Ltd (523467 / INE250C01027)
  17. Kesar Terminals & Infrastructure Ltd (533289 / INE096L01025)
  18. Krishanveer Forge Ltd (513369 / INE013J01016)
  19. Krishival Foods Ltd (544416 / INE0GGO01015)
  20. Likhami Consulting Ltd~ (539927 / INE920T01011)
  21. Loyal Textile Mills Ltd (514036 / INE970D01010)
  22. Manaksia Steels Ltd (539044 / INE824Q01011)
  23. Meyer Apparel Ltd (531613 / INE100C01024)
  24. Pan Electronics India Ltd (517397 / INE648E01010)
  25. Parsvnath Developers Ltd (532780 / INE561H01026)
  26. Patidar Buildcon Ltd~ (524031 / INE637N01014)
  27. Pearl Green Clubs and Resorts Ltd# (543540 / INE0GTX01019) - SME
  28. Praxis H [truncated in source]

Compliance Requirements

  • Market participants must comply with enhanced margin requirements for securities in ESM framework
  • All trades in ESM securities subject to 100% upfront margin collection
  • No intraday trading permitted (trade-for-trade settlement)
  • Brokers must ensure clients are aware of ESM status before executing trades
  • Position limits as per ESM stage requirements must be adhered to

Important Dates

  • Effective Date: October 20, 2025
  • All ESM framework changes take effect from market opening on this date

Impact Assessment

Trading Impact: Securities newly added or moved to higher ESM stages will face significantly restricted liquidity due to 100% margin requirements and trade-for-trade settlement. This typically results in reduced trading volumes and wider bid-ask spreads.

Investor Impact: Investors holding securities in higher ESM stages face increased capital requirements for any additional purchases and cannot engage in intraday trading. Securities moving to lower stages or exiting ESM will see improved liquidity and reduced trading costs.

Market Impact: The ESM framework serves as an early warning system for securities with abnormal price/volume behavior. Inclusion often indicates heightened regulatory scrutiny and potential corporate governance or financial concerns. Removal from ESM generally signals normalization of trading patterns.

Risk Consideration: Investors should exercise caution with ESM securities as they are identified based on unusual market activity, sharp price movements, or other surveillance concerns that warrant enhanced monitoring.

Impact Justification

Affects trading conditions for 46 securities across ESM framework with increased margin requirements and position limits