Description
NSE updates the high encumbrance surveillance framework under SEBI (SAST) Reg. 28(3): no new securities added, VPRPL excluded and moved to STASM; 7 securities remain in the consolidated list with 75% margin requirement.
Summary
NSE’s Surveillance department has issued its periodic update (Circular Ref. No. 312/2026, NSE/SURV/73966) to the high Promoter and non-Promoter Encumbrance framework under Regulation 28(3) of SEBI (SAST) Regulations 2011. No new securities are being added this cycle. Vishnu Prakash R Punglia Limited (VPRPL) is being removed from the framework effective April 30, 2026, and moved to the STASM framework. Seven securities remain in the consolidated encumbrance watch list and continue to attract a minimum 75% margin requirement.
Key Points
- No new securities added to the encumbrance framework in this update (Annexure I lists Nil).
- VPRPL (Vishnu Prakash R Punglia Limited, INE0AE001013) is excluded from the encumbrance framework effective April 30, 2026, and moved to STASM.
- Seven securities remain under the consolidated encumbrance measure (Annexure III) with 75% minimum margin applicable in Equity and Equity Derivatives segments.
- This measure is in continuation of Exchange circular NSE/SURV/51189 dated January 31, 2022.
- The measure operates alongside all other prevailing exchange-imposed measures and is subject to periodic review.
- Inclusion in this framework should not be construed as an adverse action against the concerned company or entity.
Regulatory Changes
No structural changes to the framework. The update reflects a routine periodic review. VPRPL’s transition from the Encumbrance Framework to STASM (Short-Term Additional Surveillance Measure) represents a reclassification rather than a full clearance.
Compliance Requirements
- Trading Members must ensure a minimum 75% margin is collected on all open positions in the seven listed securities as on May 04, 2026, and on all new positions created from May 05, 2026.
- Members should update their systems to reflect the removal of VPRPL from the encumbrance margin framework effective April 30, 2026.
- VPRPL will continue under STASM; members should apply applicable STASM margins accordingly.
- For queries, members may contact: surveillance@nse.co.in.
Important Dates
- April 30, 2026: VPRPL excluded from the Encumbrance framework; STASM classification begins.
- May 04, 2026: Last date for existing open positions before the 75% margin applies to all open positions in Annexure III securities.
- May 05, 2026: 75% minimum margin effective for all open and new positions in securities remaining under the framework.
Impact Assessment
Traders/Members: Positions in the seven consolidated-list securities (GAYAHWS, JAYNECOIND, RKEC, SAKHTISUG, STEELXIND, TFCILTD, VISASTEEL) continue to require 75% margin, significantly constraining leverage. No new securities added means no fresh capital impact beyond the existing list.
VPRPL holders: While VPRPL exits the encumbrance framework, its reclassification to STASM means it remains under enhanced surveillance; traders should verify STASM-specific margin requirements separately.
Consolidated securities under framework (Annexure III):
| Sr. No. | Symbol | Security Name | ISIN |
|---|---|---|---|
| 1 | GAYAHWS | Gayatri Highways Limited | INE287Z01012 |
| 2 | JAYNECOIND | Jayaswal Neco Industries Limited | INE854B01010 |
| 3 | RKEC | RKEC Projects Limited | INE786W01010 |
| 4 | SAKHTISUG | Sakthi Sugars Limited | INE623A01011 |
| 5 | STEELXIND | Steel Exchange India Limited | INE503B01021 |
| 6 | TFCILTD | Tourism Finance Corporation of India Limited | INE305A01023 |
| 7 | VISASTEEL | Visa Steel Limited | INE286H01012 |
Impact Justification
Routine periodic update to the encumbrance surveillance framework; no new securities added this cycle, one security (VPRPL) exits the framework. The 7 remaining securities continue to attract elevated 75% margin requirements, affecting traders with open positions in these stocks.