Description
SEBI adjudication order imposing penalties on ANS Private Limited (Stock Broker, Registration No. INZ000196431) for violations of Stock Brokers Regulations during thematic inspection of their Authorized Person.
Summary
SEBI issued Adjudication Order No. Order/AK/DS/2025-26/31827 against ANS Private Limited (PAN: AACCA4841J, SEBI Registration No. INZ000196431), a registered stock broker. The order follows a thematic inspection conducted on July 30, 2024, at the office of the broker’s Authorized Person - M/s Soham Fincare India LLP. The inspection covered the period from January 01, 2024 to June 30, 2024 and found prima facie violations of SEBI (Stock Brokers) Regulations, 1992 and applicable SEBI and Stock Exchange Circulars.
Key Points
- Adjudication proceedings initiated on June 02, 2025 under Section 15-I(1) of SEBI Act, 1992
- Adjudicating Officer appointed on June 16, 2025 to inquire into violations under Section 15HB of SEBI Act
- Show Cause Notice (SCN) issued on July 16, 2025 (No. SEBI/HO/EAD/EAD1/P/OW/2025/19049/1)
- Noticee requested and was granted inspection of documents on August 14, 2025
- Multiple extensions granted for response submission
- Noticee submitted reply on September 24, 2025 with annexures on September 25, 2025
- Personal hearing scheduled for October 16, 2025
- Inspection conducted at Authorized Person’s office: M/s Soham Fincare India LLP
Regulatory Changes
No new regulatory changes introduced. This order enforces existing provisions under:
- SEBI (Stock Brokers) Regulations, 1992
- SEBI (Procedure for Holding Inquiry and Imposing Penalties) Rules, 1995
- Applicable SEBI and Stock Exchange Circulars
Compliance Requirements
- Stock brokers must ensure full compliance with SEBI (Stock Brokers) Regulations, 1992
- Authorized Persons (APs) of stock brokers must maintain compliance with all applicable SEBI and Stock Exchange Circulars
- Brokers are subject to thematic inspections by SEBI to verify regulatory compliance
- Violations may result in adjudication proceedings and penalties under Section 15HB of SEBI Act
Important Dates
- January 01, 2024 to June 30, 2024: Inspection period
- July 30, 2024: Thematic inspection conducted at AP’s office
- December 20, 2024: Noticee’s initial reply received
- June 02, 2025: SEBI approved initiation of adjudication proceedings
- June 16, 2025: Adjudicating Officer appointed
- July 16, 2025: Show Cause Notice issued
- August 14, 2025: Document inspection provided to Noticee
- September 24, 2025: Noticee submitted reply
- September 25, 2025: Annexures to reply submitted
- October 16, 2025: Personal hearing scheduled
Impact Assessment
Market Impact: Limited direct market impact as this is an enforcement action against a single stock broker intermediary.
Regulatory Impact: Reinforces SEBI’s oversight of stock brokers and their Authorized Persons through thematic inspections. Sets compliance expectations for all registered brokers.
Operational Impact: ANS Private Limited faces potential penalties and must address identified violations. The order demonstrates SEBI’s continued focus on broker compliance and client protection.
Precedent Value: Serves as a reminder to all stock brokers and Authorized Persons regarding the importance of strict adherence to SEBI regulations and circulars, with enforcement through adjudication proceedings for non-compliance.
Impact Justification
Adjudication order against a registered stock broker for regulatory violations. Medium impact as it affects one intermediary and sets compliance precedent. Important for broker compliance standards but limited direct market impact.