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CDSL Infoline May-2001 241 KB CDSCDS infoline infoline The newsletter of Central Depository Services (India) Limited May 2001 It has been well said that change is the only constant and we need to What’s inside? constantly plan for change. The capital markets are currently at a critical juncture. After witnessing a phenomenal growth in volumes over the past two years, we are now witnessing a drop in volumes due to the turbulence witnessed in the markets, in the recent past. Fortunately, CDS has fared better than the markets. While the average daily turnover on Stock What’s new? Exchanges has fallen from about Rs. 14,000 crore in Feb. 2001 to Rs. 4,000 crore in April 2001, a drop of over 70% , the drop in CDS's volumes has been limited at around 35%. Looking ahead, the Reserve Bank of India has given a further boost to the Depository by directing all Banks and Institutions to demat all their holdings by November 1, 2001.Weat CDS are confident that this will give CDS today a further impetus to the admission of Government Securities and Debt instruments into the Depository. The Government of India dematerialised and transferred a portion of its holdings in five Public Sector Units-Bharat Aluminium Company Ltd, SAIL Power Supply Company Ltd, Kochi Refineries Ltd, Chennai CDS Associates Petroleum Ltd and Bongaigoan Refineries Ltd through CDS. CDS has thus emerged as the preferred platform for carrying out the actual share Depository Participants transfer transactions by the Central Government. In line with our constant endeavor to reach out to investors across the Stock Exchanges country, we now have 158 Depository Participants offering direct depository services in 72 cities spread across 132 locations in the Registrars country. These Depository Participants have live connectivity with CDS and are able to provide on-line information to beneficial owners. Similarly, the number of issuers' securities admitted into CDS has now Companies increased to 2886. CDS also commenced the admission of debt instruments like debentures and bonds issued by various companies. CDS presently has 395 debt instruments of 22 issuer companies admitted for demat. All this would not have been possible without your continued support. I would like to conclude by quoting from Pandit Shreeram Sharma About CDS Acharya’s key to success : Management Team “Irrepressible enthusiasm, immense courage, unwavering patience, enduring hardwork and facing up to adversity squarely under all circumstances, only can lead to a successful life.” Contact us Assuring you of our best services at all times. For Private Circulation Only M.G.Damani Chairman and Managing Director Scrip Go less With CDS... What’s new? v The Our telephone numbers at CDS have changed to (022)2723333 and the fax numbers to (022)2723199/2722072. The new direct telephone numbers of Shri M G Damani, Chairman & Managing Director, CDS and Shri V V Raut, Executive Director, CDS are 2349009 and 2348008, respectively. v The Stock Exchange, Mumbai (BSE) has directed all B2 group companies listed on the Exchange who have not signed agreements with both the depositories to sign the agreements and establish the required connectivity latest by May 31, 2001. Further, companies failing to do so would be shifted to the trade-to-trade window of the Exchange. This implies that all trades in the A, B1 and B2 groups on the BSE will in future be settled in the demat form only. v CDS has terminated the operations of one of its Depository Participant, Century Consultants Ltd. (DP ID 17900-17905) with effect from 03- 04-2001 in accordance with the CDS Bye-Laws. Based on the investor complaints, CDS had earlier deactivated their DP terminals from 20- 03-2000, in accordance with the provisions of CDS Bye-Laws. The deactivation is solely intended to protect the interest of the investors who have opened demat accounts with CCL. Queries if any regarding the above issue may be addressed to Mr.Rahul Bhansali Tel. 2723333 (Extn 8335) v The Nagar Urban Co-operative Bank Limited (NUCB) launched its Depository services at its Bank Road Branch inAhmednagar, at a grand function held onApril 27, 2001. Shri Arun Firodia, Chairman, Kinetic Group of Industries performed the inauguration. Shri Kantilal Oswal, Chairman, NUCB and Shri V.V.Raut, Executive Director, CDS were also present at the inauguration. v In order to implement SEBI's directive bearing Ref. No. SMDRP/POLICY/CIR- 05/2001 dated February 13, 2001- that Clearing Members (CM) are required to deliver the securities received from the CH/CC to their clients within 4 calendar days or 2 working days after the pay-out day. CDS had instructed DPs to open a separate account called Clearing Member Investor SecuritiesAccount (CISAA/c) for all CMs holding the CMUnified SettlementA/c or CMClearing MemberA/c. The securities received in pay-out in the CM Unified SettlementA/c or CM Clearing MemberA/c and not transferred to the respective client A/c within 4 calendar days or 2 working days, which ever is later, after the date of pay-out would be transferred to the CISAA/c. The securities lying in the CISA A/c would attract a penalty at the rate of 6 basis point per week on the value of securities. The penalty so collected by the depositories shall be credited to a separate account with the depository and earmarked for defraying the expenses in connection with the investors' education and awareness programs conducted by the depository. In keeping with the spirit of SEBI's resolve, CDS has commenced moving the securities from the CMUnified SettlementA/c or CMClearing MemberA/c to the CISAA/c. v CDS in its ongoing program of investor education, participated in a Quality Improvement program organized by the Faculty of Management Studies, Banaras Hindu University (BHU). Dr.Y C Simhadri, Vice Chancellor, BHU and Prof. C Lal, Dean, BHU presided over the program on Marginal Costing & Breakeven Analysis. Shri M G Damani our Chairman & Managing Director inaugurated the seminar and delivered a lecture on new paradigms in financial management wherein CDS was depicted as a role model. Shri Damani also provided insights into the depository and the functioning of the capital market and the present senario. v Pursuant to the announcement of Hon'ble Finance Minister on the floor of Parliament that about 200 scrips would be traded in rolling settlement by July 2001. SEBI has decided vide its circular bearing serial number SMDRP/Policy/Cir- 23/2001 dated March 20, 2001 that: i. All scrips, which are included in the ALBM/BLESS or MCFS in any stock exchange, will be traded ONLYin the compulsory rolling settlement on a nation wide basis i.e. on all the stock exchanges from July 2, 2001. ii. In addition, if there is any scrip, which is included in the BSE 200 list, but not covered by the above list, will also be included in the compulsory rolling settlement on a nationwide basis. v The Government of India dematerialised and transferred a portion of its holdings in five Public Sector Units-Bharat Aluminium Company Limited, SAIL Power Supply Company Ltd, Kochi Refineries Ltd, Chennai Petroleum Ltd and Bongaigoan Refineries Ltd through CDS. The Government of India had earlier dematerialised and transferred a portion of its holdings in Indian Oil Corporation, Gas Authority of India Limited and Oil and Natural Gas Corporation Limited as a part of its disinvestment programme in these entities. CDS has thus emerged as the preferred platform for carrying out the actual share transfer transactions by the GOI. CDS feels highly honoured by the confidence reposed by the Government of India in it. 2 Visit us at www.centraldepository.com Scrip Go less With CDS... CDS Today: COMPANIES: As on April 30, 2001, CDS, has signed agreements with 2821 companies. Of these 2789 companies are available for demat services. DEPOSITORY PARTICIPANTS: As on April 30, 2001, CDS has 158 Dp’s offering depository services in 72 cities/towns across 132 locations in the country . DEMATERIALISATION: As on April 30, 2001, the total number of shares held in CDS was 189.32 crore shares. SETTLEMENT: As in April, 2001, a total quantity of 7149 lakh shares worth Rs. 6004 crores were settled in demat form. Visit us at www.centraldepository.com 3 Scrip Go less With CDS... CDS Associates - Depository Participants : Depository Participants Address Tel. number Fax AGRA Seema Securities Pvt. Ltd. Shop No.2, 1st Floor, Block 20/4, Maruti Tower, (0562) 354377 (0562) 352887 Sanjay Place, Agra - 282 002. AHMEDABAD Bank of India Navrangpura Branch Bldg, 2nd Floor , Swastik Char rasta, Navrangpura, Ahmedabad-380009 Renaissance Securities Limited C/O Crystal Finstock P. Limited, 193/1 New Cloth Market, (079)2167976/ (079)2176664 Ahmedabad-380002 2176660/61/62 The Stock Exchange Ahmedabad Kamdhenu Complex, Opp.Sahajanand College, (079)6307971-76 (079) 6308877 Near Polythenic, Ambawadi, Ahmedabad-380015 AHMEDNAGAR Nagar Urban Co-operative Bank Limited; Ahmednagar Bank Road, Post Box No: 7, Ahmednagar-414001 (0241)343 641/642/345 (0241)346 951 385 AKOLA Motilal Oswal Securities Limited C/o Goel Financial Services, 2nd floor, Shram Shakti Bhavan, (0724) 430795/304 (0724) 425309 Opp. Telephone Exchange, Old Cotton Market, Akola-444001 The Akola Janata Co-operative Bank Limited;Akola Old Cotton Market, Akola-444001 (0724) 430012/241/639 (0724) 430814 ALLAHABAD Asit C Mehta Investment Intermediates Limited 300 Colonel Ganj, Allahabad-211002 (0532) 460822/460937 (0532)460937 ANAND H T Nanavati Securities Pvt Ltd 204, Kishore Plaza, A wing, 2nd floor, Station Road, (02692)40439/41412 (02692) 41671 Anand-388001 BANGALORE Bangalore Stock Exchange Limited Stock Exchange Towers, 1st Cross, J.C. Road, (080)2995234 (080)2995242 Bangalore-560027 Bank of India Bank of India Bldg 2nd Floor, 11, K G Road, 080 2289050 080 2280367 Bangalore-560009 Churiwala Securities Pvt.
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