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SEBI reiterates PAN requirement
July, 14th 2006

SEBI today reiterated the requirement of a permanent account number (PAN) for transactions in the cash market.

The move is a bid to further strengthen the Know Your Client norms in the cash market with a view to facilitate sound audit trail. SEBI today said PAN would be mandatory for all the entities and persons who want to trade in the cash market from October 1. PAN had been made mandatory for transacting in the futures and options market as well as for operating a beneficiary owner account in the depository system.

The capital markets regulator has asked the stock exchanges to ensure that with effect from October 1transactions in the cash market are executed only in respect of clients whose PAN details have been collected and uploaded to the exchange by the members.

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