Description
NSE announces periodic relaxation of Graded Surveillance Measure (GSM) for 6 securities, with two stocks (TARAPUR, ORTEL) exiting GSM entirely and four others moving to lower stages effective May 11, 2026.
Summary
NSE’s Surveillance Department has conducted a periodic review of securities under the Graded Surveillance Measure (GSM) framework in coordination with other exchanges. Six securities are eligible for relaxation of surveillance actions, moving to lower GSM stages effective May 11, 2026. Two securities (TARAPUR and ORTEL) are exiting GSM entirely (Stage I to Stage 0), while four others move down one stage.
Key Points
- Periodic review conducted jointly with other exchanges as per GSM framework provisions
- 6 securities eligible for relaxation effective May 11, 2026
- TARAPUR TRANSFORMERS LIMITED and ORTEL COMMUNICATIONS LIMITED exit GSM completely (Stage I → Stage 0)
- BLUE CHIP INDIA LIMITED and LCC INFOTECH LIMITED move from Stage II to Stage I, with series change from BE to EQ
- GRAND FOUNDRY LIMITED and UNIVA FOODS LIMITED move from Stage IV to Stage III
- References prior GSM circulars: NSE/SURV/34262 (Feb 23, 2017), NSE/SURV/42790 (Nov 29, 2019), NSE/SURV/59425 (Nov 17, 2023), NSE/SURV/64066 (Sep 20, 2024)
Regulatory Changes
The following securities will be moved to lower GSM stages:
| Symbol | Security Name | ISIN | Series | From Stage | To Stage |
|---|---|---|---|---|---|
| TARAPUR | Tarapur Transformers Limited | INE747K01017 | EQ | I | 0 (Exit GSM) |
| BLUECHIP | Blue Chip India Limited* | INE657B01025 | EQ | II | I |
| GFSTEELS | Grand Foundry Limited | INE534A01028 | BE | IV | III |
| LCCINFOTEC | LCC Infotech Limited* | INE938A01021 | EQ | II | I |
| ORTEL | Ortel Communications Limited | INE849L01019 | BZ | I | 0 (Exit GSM) |
| UNIVAFOODS | Univa Foods Limited | INE275F01019 | BE | IV | III |
*Series change from BE to EQ for BLUECHIP and LCCINFOTEC.
Compliance Requirements
- NSE members should note the revised GSM stage classifications for the above securities effective May 11, 2026
- Trading in these securities will be subject to conditions applicable to their new (lower) GSM stages
- Members should update client communications and order management systems accordingly
- For queries, members may contact surveillance@nse.co.in
- Detailed GSM framework FAQs available at https://www.nseindia.com/regulations/graded-surveillance-measure
Important Dates
- Circular Date: May 08, 2026
- Effective Date: May 11, 2026 (relaxation applicable from this date)
Impact Assessment
This relaxation is a positive development for investors and traders holding or interested in these six securities. Moving to lower GSM stages typically reduces trading restrictions (such as mandatory trade-for-trade settlement, higher margins, or price bands). The exit of TARAPUR and ORTEL from GSM entirely (Stage 0) is the most significant relief, as they will no longer be subject to heightened surveillance restrictions. The series change from BE to EQ for BLUECHIP and LCCINFOTEC further eases trading by allowing normal rolling settlement. Stocks moving from Stage IV to Stage III (GFSTEELS, UNIVAFOODS) will see partial easing but remain under enhanced surveillance.
Impact Justification
Affects 6 specific securities with relaxation of trading restrictions; medium importance as it benefits investors in these stocks by easing surveillance-related trading constraints, but has limited broader market impact.