Shortages in Obligation and Internal Auction :

Clients are required to make Securities / Funds pay in on T+2 day. In case of default in security pay-in by the client and the shortage is at member level i.e. internal shortage, then the benefit calculated at 2 to 5 % on the next day’s Current Market Rate or Standard Rate of the day of sale whichever higher after pay-out day shall be recovered from the defaulting client and passed on to the respective beneficiary client.

In case of the default of securities pay-in by the client and the shortage is from the exchange, auction value of the respective exchange plus penalty (decided by the member from time to time) plus brokerage and other statutory charges shall be recovered from the defaulting client.

In the case of funds default by the client, the member shall be liquidating the stocks to recover the money. Any shortfall arising out of liquidating securities by the members shall also be recovered from the defaulting client along with interest (decided by the member from time to time).