Monday March 23 2026

News Source: Global Exchanges

Focus: General - Global Exchanges

Type: General

Country: India

Link: https://tinyurl.com/ycanne7d




On 19th March 2026, the International Financial Services Centres Authority (IFSCA) undertook measures to assess compliance by Capital Market Intermediaries (CMIs) operating in the GIFT International Financial Services Centre (IFSC).

IFSCA has been conducting multiple rounds of market intelligence visits at the registered office premises of CMIs to verify the presence of substance, such as presence of Principal Officer and Compliance Officer, adequacy of infrastructure in accordance with the provisions of the IFSCA Capital Market Intermediaries Regulations, 2025.

During these supervisory visits, certain CMIs were observed to be non-compliant with the applicable regulatory requirements. Below are key observations noted during the market intelligence visits:

  • Some CMIs were found to be closed or unattended on multiple occasions, during business hours.
  • In some CMIs, neither the Principal Officer nor the Compliance Officer was present. Moreover, no authorized personnel were available to respond to queries from the IFSCA’s supervision team regarding business operations. In some CMIs, one common person was appointed both as Principal Officer and Compliance Officer. In a few cases, these instances were repeated despite the issuance of Warnings/Advisories by the Authority to the CMIs.
  • In some CMIs, the designated Principal Officers/Compliance Officers lack adequate awareness of the regulatory framework applicable to Capital Market Intermediaries. Additionally, it was observed that in some cases, only back-office staff were present during inspections.
  • Some CMIs were found lacking necessary infrastructure required to effectively carry out their business activities.
  • IFSCA also identified certain practices within some CMIs that are inconsistent with the regulatory requirements of the jurisdiction such as trading carried out using remote access software like Anydesk, Ultraviewer. In some cases, IFSCA officials also observed that the compliance officer was also handling the trading desk, which is a conflict of interest.

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