Description
Standard Operating Procedure (V1.1) for requesting and approving 'At Valid' UPI IDs by BSE members following SEBI circular SEBI/HO/DEPA-II/DEPA-II_SRG/P/CIR/2025/86 and NPCI circular NPCI/UPI/OC/217/2025-26.
Summary
BSE has issued Standard Operating Procedure V1.1 (dated 06-08-2025) for SEBI registered intermediaries to adopt standardised, validated and exclusive UPI IDs for collecting payments from investors. This procedure is based on SEBI Circular SEBI/HO/DEPA-II/DEPA-II_SRG/P/CIR/2025/86 dated 11 June 2025 and NPCI Circular NPCI/UPI/OC/217/2025-26 dated 3rd July 2025. The document covers the complete process for requesting and approving ‘At Valid’ UPI IDs through BSE’s dedicated portal.
Key Points
- Standard Operating Procedure version V1.1 effective from 06-08-2025
- Applies to Brokers, Depository Participants (DPs), Investment Advisers (IAs) and Research Analysts (RAs)
- UAT Portal accessible at https://membershipraia.bseindia.com/login.aspx
- Two primary functions: Request new UPI IDs and View all existing requests
- Entity information auto-filled and non-editable based on SEBI registration certificate
- Option to use legal account holder as Exchange or Clearing Corporation instead of entity itself
- Trade name can be used as username base if entity has registered trademark
- Username automatically generated by system with options for customization (longer generation or fixed length)
- Optional parameters available for adding additional information to username
- Username structure: base name + optional value + category suffix
Regulatory Changes
SEBI has mandated all registered intermediaries to adopt standardised, validated and exclusive UPI IDs for payment collection from investors through Circular SEBI/HO/DEPA-II/DEPA-II_SRG/P/CIR/2025/86 dated 11 June 2025. This is complemented by NPCI Circular NPCI/UPI/OC/217/2025-26 dated 3rd July 2025. The regulatory change aims to:
- Standardize payment collection mechanisms across SEBI intermediaries
- Ensure validation and exclusivity of UPI IDs used for investor transactions
- Enhance investor protection through verified payment channels
- Reduce fraud and misdirected payments
- Improve traceability of investor funds
Compliance Requirements
For IA/RA Members and Registered Entities:
- Access BSE’s UPI Request Handle system via the UAT Portal at https://membershipraia.bseindia.com/login.aspx
- Navigate to UPI Request Handle menu from left-side menu
- Submit new UPI ID requests through “Request new UPI IDs” option
- Provide accurate entity information (auto-filled from SEBI registration)
- Configure Legal Account Holder:
- Default: Account in entity’s own name
- Alternative: Enable toggle to use Exchange or Clearing Corporation account
- Configure Trade Name (optional):
- Toggle “Use Trade Name as Username” if using registered trademark
- Provide trademark registration number
- Enter beneficiary bank account information and IFSC code
- Review and customize auto-generated username:
- Use “Generate Longer” for more descriptive usernames
- Use fixed length option to manually select/deselect characters
- Add optional parameters if additional information needed
- Submit request for bank approval
- Monitor request status through “View all Requests” option
For Partner Banks:
- Review and approve UPI ID requests submitted by registered entities
- Validate entity information against SEBI registration
- Verify bank account details and IFSC codes
Important Dates
- 11 June 2025: SEBI Circular SEBI/HO/DEPA-II/DEPA-II_SRG/P/CIR/2025/86 issued
- 3 July 2025: NPCI Circular NPCI/UPI/OC/217/2025-26 issued
- 06 August 2025: Standard Operating Procedure V1.1 effective date
- 20 October 2025: BSE circular issued to members
Impact Assessment
Operational Impact:
- High impact on payment collection infrastructure for all SEBI intermediaries
- Requires integration with BSE’s UPI Request Handle system
- Brokers, DPs, IAs and RAs must transition existing payment collection to standardised UPI IDs
- May require updates to client communication regarding new payment methods
- Bank account verification and IFSC validation mandatory for all requests
Market Impact:
- Enhances investor confidence through standardised, validated payment channels
- Reduces risk of payment fraud and misdirection
- Improves regulatory oversight of fund flows between investors and intermediaries
- Creates uniform payment infrastructure across SEBI registered entities
Compliance Impact:
- Mandatory adoption for all registered intermediaries
- Non-compliance may result in inability to collect payments through UPI
- Requires maintenance of accurate entity and bank account information
- Trade name usage restricted to entities with registered trademarks only
Impact Justification
Mandatory implementation of standardised UPI IDs for all SEBI registered intermediaries affects brokers, DPs, IAs, and RAs, requiring significant operational changes to payment collection systems