Description

NSE announces changes to Enhanced Surveillance Measure (ESM) framework effective April 09, 2026, including addition of JYOTIGLOBL to Stage I, movement of BOHRAIND, POLYSIL, and SADBHAV from Stage I to Stage II, and the consolidated ESM list.

Summary

NSE has announced updates to the Enhanced Surveillance Measure (ESM) framework effective April 09, 2026. One new security has been added to ESM Stage I, three securities have been escalated from Stage I to Stage II, no securities are moving from Stage II back to Stage I, and no securities are being excluded from the ESM framework. The consolidated ESM list contains 36+ securities across Stage I and Stage II.

Key Points

  • New addition to ESM Stage I (w.e.f. April 09, 2026): JYOTIGLOBL (Jyoti Global Plast Limited, ISIN: INE1M3T01017) — will be migrated from EQ/SM group to BE/ST group w.e.f. April 10, 2026.
  • Escalated from Stage I to Stage II (w.e.f. April 09, 2026): BOHRAIND (Bohra Industries Limited), POLYSIL (Polysil Irrigation Systems Limited), SADBHAV (Sadbhav Engineering Limited).
  • Moving from Stage II to Stage I: Nil.
  • Excluded from ESM Framework: Nil.
  • The consolidated ESM list includes 16 securities in Stage II and over 20 securities in Stage I.

Regulatory Changes

Securities newly placed or escalated within ESM are subject to increased surveillance and trading restrictions. Movement to Stage II implies tighter trading controls than Stage I. JYOTIGLOBL will shift from the normal EQ/SM trading group to the BE/ST trade-to-trade group effective April 10, 2026, eliminating intraday trading.

Compliance Requirements

  • Brokers and traders must note the group migration for JYOTIGLOBL (EQ/SM → BE/ST) from April 10, 2026; all trades will be on a delivery basis only.
  • Market participants holding or intending to trade in ESM Stage II securities (BOHRAIND, POLYSIL, SADBHAV, and existing Stage II stocks) must comply with enhanced surveillance trading norms.
  • Members should update client-facing systems and risk parameters to reflect the revised ESM classification of all listed securities.

Important Dates

  • April 09, 2026: ESM changes take effect — new Stage I addition (JYOTIGLOBL) and Stage I → Stage II escalations (BOHRAIND, POLYSIL, SADBHAV).
  • April 10, 2026: JYOTIGLOBL migrates from EQ/SM group to BE/ST (trade-to-trade) group.

Impact Assessment

The ESM reclassifications primarily affect retail and proprietary traders in the impacted small-cap securities. Migration to BE/ST group for JYOTIGLOBL will reduce liquidity significantly as intraday trading is disallowed. Escalation of BOHRAIND, POLYSIL, and SADBHAV to Stage II signals heightened regulatory scrutiny and may lead to further trading restrictions or price band tightening. Overall market impact is limited given the small-cap nature of the affected securities, but investors holding these stocks should review their positions in light of the changed trading conditions.

Impact Justification

ESM changes affect a limited set of small/mid-cap securities under enhanced surveillance; trading restrictions (BE/ST group migration) imposed on specific stocks impact liquidity but are routine regulatory actions.