Sebi scraps UIN, makes PAN sole ID for all transactions
June, 27th 2007
Sebi has made the permanent account number (PAN) the sole means of identification for all transactions in the securities market, scrapping the unique identification number (UIN).
The market regulator, in a circular, said the requirement of UIN has been discontinued under the Sebi (Central Database of Market Participant Regulations), 2005. The market regulator directed all stock exchanges and depository participants to convey this decision to market participants.
Earlier, Sebi had reversed its decision to make the mutual funds identification number (MIN) mandatory for any transaction of Rs 50,000 and above and replaced PAN with MIN.
The regulators move comes in the wake of Union finance ministers announcement in the budget that PAN will be the sole identification number.
The government has taken the decision to make PAN the sole identification number after market participants called for the scrapping of UIN and MIN and making PAN the sole means of identity.
Last week, Sebi chairman M Damodaran had given an indication that the regulator is exploring ways to allow small investors to park in mutual funds without a PAN card, which was made mandatory from July 2.