Every Clearing Member shall maintain and operate a distinct settlement account for the Equity Cash Segment with any one of the designated Clearing Banks. The settlement account shall be used exclusively for clearing & settlement operations i.e., for settling funds obligations, payment of margins, fines, penalty charges, etc. as may be specified by ICCL from time to time.
Operation of settlement Account
Clearing Members shall irrevocably authorize their designated clearing banks to access their settlement accounts for debiting and crediting their settlement accounts as per the instructions of ICCL, reporting of balances and other information as may be required by ICCL from time to time.
Clearing Members shall maintain clear balance of funds in their settlement accounts with their designated clearing banks towards their funds obligations to ICCL.
Clearing Members shall not seek to close or de-activate the settlement accounts without the prior written consent of ICCL.
The Clearing Banks shall debit/credit the settlement accounts of Clearing Members as per instructions received by them from ICCL from time to time. Any request from the Clearing Members for revoking the authorization furnished by them shall not be considered by the Clearing Banks. The Clearing Banks shall not close the settlement accounts or permit deactivation of the same without the prior written consent of ICCL.
Procedure for change in designated Clearing Bank