Commission should be paid to Self Certified Syndicate Banks (SCSBs) under ASBA process

SEBI vide its Circular SEBI/CFD/DIL/MB/IS/5/2009/05/08 dated August 5, 2009 has clarified that both ASBA and non ASBA process should be treated on par and commission should be paid self certified syndicate banks (SCSBs) under ASBA process. SEBI also noted that one of the reasons for poor response to ASBA was the lack of incentive for Self Certified Syndicate Banks (SCSBs) to do the assigned task of accepting ASBAs, uploading details in the bidding system and blocking or unblocking of the account.

A copy of the Circular is available here.