Terms and Conditions
ADDITIONAL TERMS AND CONDITIONS APPLICABLE TO THE CLIENT
FOR AVAILING SECURITIES TRADING SERVICES FROM KHANDWALA SECURITIES LIMITED.
1.GENERAL TERMS AND CONDITIONS GOVERNING THE SERVICE
a.COMPLIANCE WITH LAWS.
1.All transactions that are carried out by and on behalf of the CLIENT shall always be subject to Government notifications, any rules, regulations, guidelines and circulars issued by SEBI and Rules, Regulations and Byelaws of the Exchange that may be in force from time to time, and their Clearing Houses, if any. on which such transactions are executed and / or cleared by the MEMBER that may be in force from time to time, the Reserve Bank of India and the NSDL and CDSL, the Securities Contracts Regulation Act and the rules made there under, and any other applicable statutory provisions and / rules or regulations. The MEMBER is under no obligation to inform the CLIENT of changes in these rules, regulations or guidelines
2.In case where the CLIENT is a Non resident Indian, he agrees to abide by Foreign Exchange Management Act and rules and regulations issued there under from time to time.
3.The CLIENT hereby authorizes the MEMBER to take all such steps on the CLIENT’s behalf as may be required or advisable in the MEMBER’s opinion for compliance with the Exchange provisions or any other law or provisions or to complete or settle any transactions entered into through or with the MEMBER or executed by the MEMBER on behalf of the CLIENT. However, nothing contained herein shall oblige the MEMBER to take such steps.
4.In addition to the specific rights set out hereunder, the CLIENT confirms and agrees that the MEMBER and the CLIENT shall be entitled to exercise any other rights which the MEMBER or the CLIENT may have under the Rules, Byelaws and Regulations of the Exchange and circulars issued there under or Rules and Regulations of SEBI.
5.Unless otherwise agreed in writing by the Member, Client agrees and confirms that the Member and the Client shall in no circumstances be considered as persons acting in concert or as persons co-operating with each other (directly or indirectly) or as persons having a common objective or purpose of substantial acquisition of shares or voting rights or gaining control over any company, whose shares are purchased by the Member for and on behalf of and on account of the Client.
6.The Client understands, agrees and confirms to provide copies of Annual Accounts, Results, Returns or any other document that may be asked for by the Member to comply with Prevention of Money Laundering Act, 2002, as amended. If the Client fails to provide the documents, as may be required by the Member. The Member reserves the right to terminate the Document forthwith. PARTICIPATION
c.No account should be opened if appropriate due diligence measures cannot be applied to a customer for want of verifiable documents on account of non co-operation of the customer or non-reliability of the data/information furnished to KSL.No account should be opened if appropriate due diligence measures cannot be applied to a customer for want of verifiable documents on account of non co-operation of the customer or non-reliability of the data/information furnished to KSL.
The CLIENT agrees and confirms to the clauses of this documents.
c.ACTING AS A SUB-BROKER
The CLIENT agrees not to act as a Sub – Broker without prior written permission of the MEMBER and without obtaining certificate of registration from SEBI.
The CLIENT agrees that all investments and disinvestment decisions are based on the CLIENT’S own evaluation of financial circumstances and investment objectives. This extends to any decision made by the CLIENT on the basis of any information that may be made available by the MEMBER / Sub-Broker through its website www.kslindia.com or through any other media. The CLIENT will neither hold, nor seek to hold the MEMBER / Sub-Broker, as the case may be, or any of its officers, directors, employees, agents, subsidiaries, affiliates or business associates liable for any trading losses, costs or damage incurred by the CLI ENT consequent upon relying on investment information, research opinion or advice or any other material/information provided by the MEMBER/Sub-Broker, as the case may be. The CLIENT is aware that any information provided by the MEMBER through any medium based on the research of the MEMBER or other external sources is subject to normal variations in the stock market and is merely an estimation of the availability or otherwise of certain investments, and the MEMBER shall not be deemed to have assumed responsibility for any such information. The CLIENT should seek independent professional advice regarding the suitability of any investment decision before acting on such reports and MEMBER shall not be liable under any circumstances for any losses, costs, charges, expenses incurred/suffered by the Client based on such reports
All orders made by the CLIENT shall only be in securities compulsory traded in the dematerialized form. All deliveries of securities made by or to the CLIENT shall only be in the dematerialized form.
1.The CLIENT confirms and agrees to inform to the MEMBER in writing any change in the name of authorized representative, failing which the CLIENT shall be responsible for the trade obligations arising out of the actions of both the old representative as well as the new representative.
CLIENT confirms that if any transaction(s) under this Document or under any other Document or otherwise with the MEMBER, has I have been executed on behalf of the CLIENT by any other person, not intimated to the MEMBER and the same has / have been accepted by CLIENT from time to time on the basis of the contract note(s) / bills / any other correspondence dispatched / communicated to the CLIENT by the MEMBER and / or by part or full settlement of the said transaction(s) by the CLIENT, then such transaction(s) shall be deemed to be executed by the person authorized by the CLIENT and the CLIENT hereby agrees to ratify and accept all such or other actions of such persons and undertakes to meet all obligations arising from these transaction (s).
The Client confirms, declares and agrees that:
a.Client shall deposit with the MEMBER such monies, securities or other property, which may be required to open and / or maintain his account with the MEMBER.
b.All monies, securities or other property which the MEMBER may hold on CLIENT’s account shall be held subject to a general lien for the discharge of CLIENT’s obligations to the MEMBER
c.Client shall not, acting alone or in concert with others, directly or indirectly hold and / or control excess number of permitted Derivatives contracts as fixed from time to time by the Exchanges .
d.The CLIENT shall not exercise a long or short position where, acting alone or in concert with others, directly or indirectly the CLIENT will have exercised in excess of the number of permitted futures contracts as may be fixed from time to time by the Exchange.
The CLIENT shall make the prescribed initial margin in the form of cash and / or in the form of securities (the “Margin”) with the MEMBER simultaneously with the opening of the account and prior to commencement of trading. The CLIENT shall be permitted to trade up to a pre-determined number of times of the Margin (the “Multiple”) and the quantum of the Multiple on the margin shall be decided at sole option or discretion of the MEMBER who shall have the irrevocable right to set off a part or whole of the Margin i.e. by way of appropriation of the relevant amount of cash or by sale or transfer of all or some of the securities which form part of the margin, against any dues of the CLIENT or of a member of the FAMilY of the CLIENT (for the purposes of these presents ,” FAMilY” shall mean all the Individuals, group companies, firms, entities and other persons as notified to the MEMBER) in the event of the failure of the CLIENT or a member of the FAMilY of the CLIENT to meet any of their respective obligations under these Terms. Any reference in these terms to sale or transfer of securities by the MEMBER shall be deemed to include sale of securities which form part of the Margin maintained by the CLIENT with the MEMBER. In exercise of the MEMBER’s right to sell securities under the Document, the CLIENT agrees that the choice of specific securities to be sold shall be solely at the MEMBER’s discretion. The Client confirms that the MEMBER is permitted in its sole and absolute discretion to collect additional margins (even though not imposed by the Exchange, the Clearing House or SEBI) and the CLIENT shall be obliged to pay such margins.
a.Margin on Purchase
CLIENT confirms and agrees to deposit interest-free margin of 30% or such other percentage as may be intimated by the MEMBER from time to time on the price of the securities proposed to be purchased.
b.Margins on Sales
The CLIENT confirms and agrees to deposit interest free margin of 30% or such other percentage as may be intimated by the MEMBER from time to time on the price of securities proposed to be sold.
c.Mark To Market Margin in Derivative Contracts
For derivative contracts, the CLIENT agrees that the MEMBER shall raise bills on weekly basis. The CLIENT also agrees to pay an upfront margin at the beginning of each week that will be sufficient to cover the daily margins for the entire duration of the week. If at any time during the week, the cumulative Mark to Market (MTM) margin falls short of the margin available in the CLIENT’s account, the CLIENT agrees to heed the MEMBER’s additional margin calls. As the upfront weekly margin calls are purely for operational convenience, the CLIENT will ensure that margins are adequate at all times and will immediately make good any shortfall that the MEMBER may communicate
d.Margins in Derivative Contracts
In the derivative segment, the CLIENT agrees to pay an initial margin up-front on or before creating a position. Such margin shall be decided upon by the MEMBER or the Exchange from time to time. Furthermore, the CLIENT is liable to pay (or receive) daily margins depending on whether the price of the Derivatives contract moves for or against the position undertaken. The CLIENT may also be liable to pay withholding margins, special margins or such other margins as are considered necessary by the MEMBER or the Exchange from time to time
e.Payment through Cheque/ Demand Draft:
Client understands that in case where the payment by the CLIENT towards the margin is made through a cheque issued in favour of the MEMBER, trades will be executed by the MEMBER only upon the realisation of the funds of the said cheque or at the discretion of the MEMBER. The CLIENT agrees to mention his CLIENT code along with his name on the reverse of any instrument through which he makes the payment to the MEMBER. Client further understands and agrees that the Client shall prepare Demand Draft/ Pay Order out of his own funds and agrees to provide source of the funds in case of any request made by the MEMBER.
f.Margin in the form of Securities:
The CLIENT may place margin with the MEMBER in form of securities as approved by the MEMBER Such securities may at the discretion of the MEMBER be marked as lien in favour of the MEMBER from the depository account of the CLIENT or such securities may be placed in a separate depository account of the MEMBER. Client confirms that the MEMBER may, at its own discretion, treat the securities lying in the depository account of the CLIENT, as margin, where the CLIENT has executed a Power of Attorney in favour of the MEMBER, for operating the said depository account. The CLIENT may place / deposit only those securities, which are acceptable to the MEMBER. If at any time, a particular security ceases to be on the list of approved securities, the CLIENT shall provide such other margins as may be required in place of such security. The CLIENT agrees and authorises the MEMBER to determine the market value of securities placed as Margin after applying a haircut that the Member deems appropriate. The CLIENT’s positions are valued at the latest market price available (‘marked to market’) on a continuous basis by the MEMBER. The CLIENT undertakes to monitor the adequacy of the collateral and the market value of such securities on a continuous basis. If due to price fluctuations, there is erosion in the value of the margins, the CLIENT agrees to replenish any shortfall in the value of the Margins immediately, whether or not the MEMBER intimates such shortfall. The Client understands that the. MEMBER may grant exposure to the Client at its sole discretion based on the securities purchased by the Client through the MEMBER after paying entire purchase price and which securities are kept in the Demat Account of the Client with Power of Attorney executed by the Client in favour of the MEMBER with a request to treat such securities as Margin.
g.Type of Margin
The CLIENT confirms that the MEMBER has a sole discretion to prescribe the payment of Margin in the form of cash instead of securities. The CLIENT accepts to comply with the MEMBER’s right of payment of Margin in the form of cash immediately failing which the MEMBER may sell, dispose, transfer or deal in any other manner the securities already placed with it as Margin or square off all or some of the positions of the CLIENT as it deems fit in its discretion without further reference to the CLIENT and any resultant or associated losses that may occur due to such square off/ sale shall be borne by the CLIENT, and the MEMBER is hereby fully indemnified and held harmless by the CLIENT in this behalf.
h.Margin with Exchange
The CLIENT agrees that any securities placed by him / her / it as Margin may in turn be placed as margin by the MEMBER with the Exchanges or Banks or such other institutions as the MEMBER may deem fit. The Client authorizes the MEMBER to do all such acts, deeds and things as may be necessary and expedient for placing such securities with the Exchanges/ Banks/ institutions as margin.
i.Shortfall in margins and other provisions
i.The CLIENT confirms and agrees that if payment/securities towards the Margin or shortfall in Margin is not received instantaneously to enable restoration of sufficient Margin in the CLIENT’s account, all or some of the positions of the CLIENT as well as the securities of the CLIENT in the possession or control of the MEMBER may be liquidated by the MEMBER at its sole discretion, without any reference or prior notice to the CLIENT. The resultant or associated losses that may occur due to such squaring off or sale of such securities shall be borne by the CLIENT, and me MEMBER is hereby fully indemnified and held harmless by the CLIENT in this behalf. Such liquidation or close out of positions shall apply to any segment in which the CLIENT does business with the MEMBER.
ii.The CLIENT confirms and agrees that CLIENT is responsible for all orders, including any orders that may be executed without the required Margin in the CLIENT’s account If the CLIENT’s order is executed despite a shortfall in the available Margin, the CLIENT shall, whether or not the MEMBER intimates such shortfall in Margin to the CLIENT, instantaneously make up the shortfall either through delivery of shares from his own demat account in the event of a sale, or credit the required funds in the Bank account via wire transfer or personal cheque, cashier’s cheque or money order or account transfer or any other mode as may be required by the MEMBER.
iii.The CLIENT confirms that any reference in these terms to sale or transfer of securities by the MEMBER shall be deemed to include sale of the securities, which form part of the Margin and / or such securities of the CLIENT which are in possession or control of the MEMBER, maintained by the CLIENT with the MEMBER. In exercise of the MEMBER’s right to sell securities, the CLIENT agrees that the choice of specific securities to be sold shall be solely at the MEMBER’s discretion.
j.Amendment in margins
Any amendment in the percentage of margins as required to be maintained under this Document, shall be intimated by the MEMBER to the CLIENT over the telephone or in writing or by posting the details on its website www.kslindia.com or such other website of the MEMBER as may be intimated. The CLIENT is required to make replenish the shortfall in such margins, if any, on demand of the same by the MEMBER or otherwise immediately.
k.All margins provided by the CLIENT shall be interest free and the MEMBER shall not be liable to pay any interest on the same irrespective whether the same forms part of any investment by the MEMBER in fixed deposits with the Bank or in any other instrument as may be approved by the Exchange or SEBI from time to time.
l.In the event of any change in margin percentage by the Exchange, the MEMBER may change the applicable margin percent immediately and shortfall in margin on CLIENT’s open position as a result of the same shall be dealt with in the same manner as specified in shortfall in margins specified here in above.
4.EXECUTION OF ORDERS
a.The CLIENT confirms and agrees that placing an order with the Member including a market order, does not guarantee execution of the order. The MEMBER has’ the absolute right to reject any order that may be made by the CLIENT for any reason whatsoever including for the breach of the requirement of maintaining the prescribed Margin in the CLIENT account or the Bank account.
b.The CLIENT agrees that if, under any circumstances or for any reason, the market closes before the acceptance of the order by the Exchange, the order may be rejected. The CLIENT agrees further, that the MEMBER may reject orders if the same are rejected by the Exchange for any reason. In case of rejection of an order due to rejection by the Exchange, the CLIENT agrees that the order shall remain declined and shall not be reprocessed, in any event.
c.The MEMBER may, at its sole discretion, reject any order placed on the website, through phone, or in any other manner for any reason including, but not limited to, the non availability of funds in the trading account of the CLIENT, non availability of the securities in the Demat account of the CLIENT with the designated Depositmy Participant, insufficiency of margin amount if the CLIENT opts for Intra-Day margin trading, suspension of scrip for trading activities by or on the Exchange, or applicability of circuit breaker to a scrip in which orders are placed or insufficient bids or offers in any particular security. The Client further understands and agrees that MEMBER shall have right to reject the orders placed by the Client and / or put circuit breakers to discourage trades getting executed at unrealistic prices from the current market price of the security or prohibit the Client from trading in illiquid securities which creates artificial liquidity or manipulates prices or to discourage Client from cross / synchronized trading and MEMBER shall not be liable for any loss arising out of non acceptance or rejection of the Client orders by the MEMBER for any such reason if the Client fails to give sufficient reason for placing such orders.
d.The CLIENT is aware that the Electronic Trading System either at .the Exchange or in the MEMBER’s office is vulnerable to disruptions, breakdown or failures. In the event of non-execution of trade orders or trade cancellation due to the happening of such events or vulnerabilities due to failure/disruption/breakdown of system or link, the CLIENT may not be able to execute the desired transactions. In such an event, the MEMBER does not accept responsibility for the losses, costs, expenses or damages that may be incurred by the Client due to such eventualities
5.PRICE OF SECURITIES
The CLIENT understands that with respect to any order, the Client will obtain the price at which the order was actually executed in the market, which may be different from the price at which the security was trading when the CLIENT’s order was entered into the Member’s system.
6.CANCELLATION OR MODIFICATION OF ORDERS
aThe CLIENT confirms and agrees that:
b.The execution of order cancellations or modification of orders is not guaranteed. Cancellation of orders is possible only if the original order remains pending at the Exchanges. Market orders are subject to immediate execution. The CLIENT shall not presume that an order has been executed or cancelled or modified and the Client is required to verify the status of his / its orders with the trade confirmations by the Member.
c.Unless otherwise specified by the MEMBER, any order not executed at the end of the day shall stand cancelled.
d.In the event of trade cancellation due to such events or vulnerabilities, MEMBER shall be entitled to cancel relative contracts. At times, due to unforeseen circumstances the Member may not be able to execute the desired transactions (either the Client’s own transactions or transactions for enforcing margin as provided in this Document) on a timely basis; The MEMBER does not accept responsibility for any losses that the CLIENT may incur on such eventualities beyond the control of the MEMBER.
e.The MEMBER shall have right to reject any order based on its risk perceptions.
7.CORPORATE BENEFITS; SETTLEMENT CYCLES
The CLIENT accepts responsibility of knowing the status of all corporate benefits like rights and bonus issues, dividends and stock splits of shares that he / it intends to trade or which are held in his/ her / its account. The CLIENT accepts responsibility for knowing the correct ISIN Numbers of the shares in his / her / its account and the eligibility of the shares to meet share pay in obligations to the Exchange/ Clearing Corporation, whether received by way of purchase, rights, bonuses, stock split, off market transfers or otherwise.
8.BROKERAGE & OTHER CHARGES
a.The Client shall pay to the Member brokerage and statutory levies as are prevailing from time to time and as they apply to the Client’s account, transactions and to the services that Member renders to the Client. The Member shall not charge brokerage more than the maximum brokerage permissible as per the rules, regulations and byelaws of the relevant stock exchanges and/or rules and regulations of SEBI.The CLIENT further agrees to pay any applicable taxes including the securities transaction tax, duties and levies as may be levied on the transaction from time to time.
b.The MEMBER shall debit the trades and the bank charges for the realization of cheques etc. to the CLIENT’s account.
c.User Fees/Other Charges: The CLIENT agrees that the MEMBER or any of its affiliates may charge user fees for the use of any other services including but not restricted to Internet Trading ancillary services, use of the website platform and the call and trade services at rates mentioned on the website or otherwise intimated and as modified from time to time including but not limited to the following The Client agrees and confirms that the MEMBER shall have the right to debit the following charges to the account of the Client
Trading Account Opening Charges
Bank Charges for clearance of cheque
Charges for availing research reports
Charges of availing special facility for mobile broking, SMS facility
Penalties levied by the exchange for client limit violations
Charges for dishonor of cheque(s) given by the Client
Any other charges for the special services/facilitiesavailed by the Client.
9.DELAYED REPORTING OF TRANSACTIONS
The CLIENT confirms and agrees that:
The CLIENT confirms and agrees that:
In addition, any errors reported to the CLIENT for any reason whatsoever will stand subsequently corrected to reflect the transaction that was effected in the market
10.PAYOUT OF SECURITIES / FUNDS
The CLIENT agrees that the MEMBER shall not be obliged to deliver any securities or pay any money to the CLIENT unless and until the same has been received by the MEMBER from the Exchange, the Clearing Corporation / House or the concerned Mutual Fund or other company or entity liable to make the payment. Unless the MEMBER otherwise determines, and subject to the MEMBER’s rights to set off and other rights as mentioned in this Document, the securities to be delivered by the MEMBER to the CLIENT pursuant to the CLIENT’s purchase transactions shall be credited to the designated depository account of the CLIENT and the sale proceeds to be paid by the MEMBER to the CLIENT
In order to facilitate operations, the CLIENT authorizes the MEMBER to maintain a running account with the MEMBER, instead of settlement – to- settlement clearance of funds / securities due to the CLIENT. The payout of funds/ securities may be retained by the MEMBER and no interest shall be payable by the MEMBER on such securities / funds so retained. The CLIENT agrees that the MEMBER shall not be liable for any claim for loss or profit, or for any consequential, incidental, special or exemplary damages, caused by retention of such securities / funds under this Document or otherwise. On written request of the CLIENT the MEMBER may release the funds / securities to him, if sufficient margins in respect of his trading, across the stock exchange(s) and across the segment of the stock exchange(s) are available with the MEMBER.
The CLIENT confirms and agrees that in case of purchase of securities by the CLIENT, at times the MEMBER may be unable to deliver the securities to the said purchaser on the payout day due to non receipt of the securities from the stock exchange(s) or in case on non-receipt of the said securities from another CLIENT of the MEMBER who has sold the securities against the said purchase transaction. In cases of such short delivery, the securities shall be delivered to the purchaser as per the policy of the Company as amended from time to time.
The Client understands and undertakes that he will give the funds and securities from his own bank and demat account respectively to honor pay-in obligations.
The Client understands that if the Client trades in shares which are in Trade-To-Trade category of the respective exchanges, then the Client shall give the delivery of the shares for sell separately.
At all times, the CLIENT agrees to make the payment of funds only in the name the MEMBER titled” KHANDWALA SECURITIES LIMITED” vide an account payee cheque / demand draft drawn on an approved bank / nationalized Bank from his / her own account, with details of the CLIENT code and the name of the CLIENT mentioned on the reverse of the instrument.
At all times, the CLIENT agrees to transfer the securities only to the designated depository account of the MEMBER.
The CLIENT agrees that the MEMBER shall not be responsible for any loss, damages in respect of any funds / securities which are deposited / transferred to any account other than that of the MEMBER’s designated account under this Document.
In the event of Client’s account receiving an incorrect creditldebifby reason of a mistake, the MEMBER shall be entitled to reverse such incorrect creditldebit at any time whatsoever. The Client shall be liable and continue to remain liable to the MEMBER for any incorrect gain obtained as a result of the same and the MEMBER reserves the right to take such remedial measures against the Client for recovery of the erroneous credit.
In case of Purchases:
Notwithstanding the margin position in case of purchase on behalf of CLIENT, the CLIENT confirms, agrees and authorizes the MEMBER to close out the transactions by selling the securities, in case the CLIENT fails to make full payment to the MEMBER for the execution of the contract within two days of trade execution before pay-in-day (as fixed by stock exchange for the concerned settlement period), whichever is earlier, unless the CLIENT already has an equivalent credit with the MEMBER. The loss incurred in this regard, if any, will be met from the margin money of the CLIENT. The CLIENT agrees to make good the shortfall, if any, immediately on being intimated of the shortfall by the MEMBER.
In case of Sale: Notwithstanding the margin position in case of sales on behalf of CLIENT, the CLIENT authorizes the MEMBER to close out the contract by effecting purchases if the CLIENT fails to deliver the securities sold with valid transfer documents within two days of the trade execution or before delivery day (as fixed by stock exchange authorities for concerned settlement period), whichever is earlier. Loss on transaction, if any, will be deductible from the margin money of the CLIENT. The CLIENT agrees to make good the shortfall, if any, immediately on of being intimated of the shortfall by the MEMBER
Other Restrictions: The Member may, in its sole discretion, square off any outstanding position of the CLIENT due to any restrictions in relation to volume of trading / outstanding business or margins stipulated by the Exchange, Clearing Corporation/ Clearing House and / or the MEMBER and / or any other extraordinary even warranting such square off.
12.ADJUSTMENT OF BALANCES
The CLIENT or a Constituent of the “Family” of the CLIENT (for the purposes of this Document “Family” shall hereinafter mean all the individuals, group companies, firms, entities and other persons as notified to the MEMBER from time to time) who may be registered as a CLIENT with the MEMBER under one or more of the following segment(s):
as a Broking CLIENT for dealing in securities on one or more segment(s) of Bombay Stock Exchange Limited and / or National Stock Exchange of India Limited and / or OTC Exchange of India.
as a CLIENT registered under the Portfolio Management Scheme of Khandwala Securities Ltd. c. or for any other product or service that may be offered and availed in future. Agree that the account of the CLIENT or that of any constituent of the “Family” refers to and includes any account(s) in any of the above segments or Exchange, taken individually or collectively including account(s) opened by the Member after the signing of this Document. The CLIENT confirms and agrees to adjust the balances in its account with the balances in the accounts of his Family as per the terms communicated to the MEMBER.
13.RIGHT OF LlEN / SETOFF
The CLIENT confirms, agrees and authorizes the MEMBER to set off credit balances of securities and / or funds, receivables, margins of the CLIENT lying with the MEMBER or have lien on such credit balances / securities, margins, receivables, in or more of the accounts of the CLIENT or any member of the CLIENT’s FAMilY in any of the segments or exchanges where the CLIENT or the member of the CLIENT’s FAMilY is registered with the MEMBER, against the debit balances of securities and / or funds and receivables in one or more of the accounts of the CLIENT or any member of CLIENT’s FAMilY in any of the said segments or exchanges, by way of appropriation of the relevant amount of cash or by sale or transfer of all or some of the securities, and / or any credit in any said accounts of the CLIENT or of the member of the CLIENT’s FAMilY.
The CLIENT agrees that all securities and monies belonging to the CLIENT which are under the control or possession of the MEMBER shall be subject to a general lien and / or set off, for discharge of any obligation or indebtedness of the CLIENT or a member of the CLIENT’s FAMILY to the MEMBER or any of its group company(ies). In enforcing the lien and / or the right to set off, the MEMBER shall have the sole discretion of determining the manner in which the securities or assets are to be appropriated/ liquidated. The provisions of this clause shall apply notwithstanding any other Document to the contrary between the CLIENT and the Member.
14.MEMBER CLIENT COMMUNICATION
he CLIENT confirms and agrees to the form of Communication Documents which may be sent by electronic delivery between the parties may be in the form of an electronic mail (including any auto replies from the system of the MEMBER), an electronic mail attachment, or in the form of an available download from the website. The MEMBER shall be deemed to have fulfilled any legal obligation to deliver to the CLI ENT any such document if sent via electronic delivery, provided however that the notice of termination specified in the Terms herein, shall be in writing. he CLIENT confirms and agrees to the form of Communication Documents which may be sent by electronic delivery between the parties may be in the form of an electronic mail (including any auto replies from the system of the MEMBER), an electronic mail attachment, or in the form of an available download from the website. The MEMBER shall be deemed to have fulfilled any legal obligation to deliver to the CLI ENT any such document if sent via electronic delivery, provided however that the notice of termination specified in the Terms herein, shall be in writing.
Electronic Communication of Documents
The CLIENT confirms, agrees and authorizes the Member to send the contract note/trade confirmations of the trades executed, bills and account statements or such other data relating to his trading account with the MEMBER and also authorizes Depository Participant to send all bills and/or transactions statements, communication and information through electronic mail to his / her / its email address maintained at Khandwala Securities Limited / or such other designated email address as may be intimated by the Client to the Member. The CLIENT agrees that the MEMBER fulfils its legal obligation to deliver to the CLIENT any such document if sent via electronic delivery. The Client agrees that the log report generated by the system at the time of sending of the contract notes or other documents shall be treated as the acknowledgement and confirmation of receipt of contract notes and such other documents by the Client. The CLIENT understands that it is his/ her/ its responsibility to review, upon first receipt, whether delivered to CLIENT by mail, bye-mail (including any auto replies from the system of the MEMBER), or other electronic means, all confirmations, statements, notices, contracts, bills and other communications. All information contained therein shall be binding upon the CLIENT, if the CLIENT does not
object, either in writing or via electronic mail, within twenty-four hours after any such document is sent to the CLIENT. In all cases, the MEMBER reserves the right to determine the validity of the CLIENT’s objection to the transaction. The Member may on request by the Client, send hard copies of the contract notes or such other documents. Further non-receipt of bounced mail notification by the Member shall amount to delivery of contract note at the Email lD of the Client.
The Member may at any time amend the margin requirements, the list of approved securities accepted as margin, or such other terms of the Document by modifying or rescinding any of the existing provisions or conditions or by adding any,new provision or condition, by conspicuously posting notice of such amendment on its website. The Member shall not be required to communicate any modification or rescission individually to the Client either through physical or electronic form, and any separate notice of amendment or modification is deemed to be waived by the Client. The continued use of the services of the Member after such notice will constitute acknowledgement and acceptance of such amendment. (These terms as amended or modified from time to time represent the entire Document concerning the subject matter hereof.)
Change of Address Unless the CLIENT informs the MEMBER of the change of the address for communication in writing, all notices, circulars, communication or mail sent to the existing address shall be deemed to have been received by the CLIENT irrespective of whether they are actually received or not.
Under no circumstances shall the MEMBER or anyone involved in creating, producing, delivering or managing the MEMBER’s services be liable for any direct, indirect, incidental, special or consequential damages that result from the use of or inability to use the service, delay in transmission of any communication, in each case for any reason whatsoever (including on account of breakdown in systems) or out of any breach of any warranty or due to any fraud committed by any person whether in the employment of the MEMBER or otherwise.
16.PROVISIONS IN CASE OF DEFAULT OF MEMBER
The CLIENT confirms and assure that in the event of a default of a Trading / Clearing MEMBER on his own account the CLIENT’s money will not be utilized to meet the MEMBER’s Liabilities. In such cases, the CLIENT’s positions shall be either transferred to another solvent MEMBER or closed out as per the provisions of the Rules, Byelaws and Regulations of the any segment or the Clearing House.The Loss, if any, caused to the CLIENT because of such action would be recoverable by the CLIENT from the MEMBER. In event of any failure of the CLIENT to fulfil his obligations to the MEMBER, the Segment or the Clearing House, the CLIENT’s positions may be closed out and the money, if any, of the CLIENT available with the MEMBER or with any other MEMBER, the segment or the Clearing House may be adjusted against the CLIENT’s liabilities / obligations.
17.RESERVE BANK OF INDIA GUIDELINES
The Client is aware that as per the RBI guidelines the Foreign Institutional Investors (Fils), Non-Resident Indians (NRls), and Persons of Indian Origin (PIOs) are allowed to invest in the secondary capital markets in India through the portfolio investment scheme (PIS). Under this scheme, Flls/ NRls can acquire shares / debentures of Indian companies through the stock exchanges in India. These investments are governed and monitored on daily basis by the Reserve Bank of India (RBI). On reaching the aggregate ceiling limit as fixed by RBI from time to time, the RBI advises all designated bank branches to stop purchases on behalf of their Flls/ NRls/ PIOs clients. The Reserve Bank also informs the general public about the ‘caution’ and the ‘stop purchase’ in these companies through a press release. The Client being a FII / NRI / PIO, hereby acknowledges that he is aware of the RBI guidelines in relation to his investments in the secondary market in India. The Client hereby agrees to keep himself abreast of the ceiling limits on investments as published by RBI from time to time and also agrees that he shall immediately reverse his transaction, if such transaction breaches the ceiling limits as imposed by RBI. In case the Client does not / is unable to reverse such transaction immediately, the Client authorizes the Member to do so under intimation to the client.
18.MISCELLANEOUS PROVISIONS GOVERNING THE TERMS:
LIMITATION OF LIABILITY: The MEMBER does not guarantee, and shall not be deemed to have guaranteed, the timeliness, sequence, accuracy, completeness, reliability or content of market information, or messages disseminated to the CLIENT or the execution of the orders placed by the CLIENT. The MEMBER shall not be liable for any inaccuracy, error or delay in, or omissions of,1) any such data, information or messages, or 2) the transmission or delivery of any such data, information or messages, due either to any act or omission by the MEMBER or to any “Force Majeure” event (e.g. flood, extraordinary weather condition, earthquake or other any act of God, fire, war, insurrection, riot, labour dispute, accident, action of government, communication, power failure, shut down of the systems for any reason (including on account of computer viruses), equipment or software malfunction); any fraud committed by any person whether in the employment of the MEMBER or otherwise or any cause within beyond the reasonable control of the MEMBER 3) cancellation or non execution of the order placed by the CLIENT with the MEMBER. The MEMBER shall not be liable for any inaccuracy, error, false statement, misrepresentation or fraud committed by any sales or other associates / third parties engaged by the MEMBER to promote the services offered by it. The CLIENT agrees that he/she/it places no reliance on such persons and will exercise due care and diligence in relying on any statements made any persons.
REPRESENTATIONS AND WARRANTIES OF CLIENTS:
The CLIENT hereby represents and warrants that the terms and conditions of this Document have been clearly understood and that the information furnished to the MEMBER is accurate and truthful. The CLIENT confirms that he/she is of legal age and he / she / it has obtained the necessary approvals from the relevant regulatory/ legal and compliance authorities to avail the services provided pursuant to the terms of this Document.
SHARING OF INFORMATION
The CLIENT agrees and confirms that the MEMBER may appoint agents for carrying out the acts mentioned in or in relation to this Document. The CLIENT consents to sharing of his/ its account related information to the authorized agents appointed by the MEMBER.
TAPE RECORDING OF CONVERSATION
The CLIENT is aware that the MEMBER tape-records the conversations between the CLIENT’s representative and the MEMBER, either personally or over the telephone, and hereby specifically permits the MEMBER to do so. Such recordings may be relied upon by the MEMBER as and when required to resolve disputes in connection with the trading transactions.
CONCLUSIVENESS OF RECORDS
The MEMBER’s own records of the trades/transactions maintained through computer systems or otherwise shall be accepted as conclusive and binding on the CLIENT for all purposes.
The CLIENT understands and confirms that the CLIENT has the option to terminate the applicability of the voluntary terms and conditions including the terms and conditions applicable for special facility that may be provided by the Member by giving advance notice to the MEMBER in writing of not less than 30 days. Provided however that the terms and conditions shall become applicable for all the close out trades that may be executed by the CLIENT or the MEMBER subsequent to such termination.
CLIENT agrees and confirms that though orders are generally routed to the marketplace immediately after the time the order is placed by the CLIENT on the system there may be a delay in the execution of the order due to any link/system failure at the CLIENT/MEMBER/Exchange’s end. The CLIENT hereby specifically indemnifies and holds the MEMBER harmless from any and all claims, and agrees that the MEMBER shall not be liable for any loss, actual or perceived, caused directly or indirectly by government restriction, exchange or market regulation, suspension of trading, war, strike, equipment failure, communication line failure, system failure, security failure on the Internet, shut down of systems for any reason (including on account of computer viruses), unauthorized access, theft, any fraud committed by any person whether in the employment of the MEMBER or otherwise or any problem, technological or otherwise, that might prevent the CLIENT from contacting.
The CLIENT further confirms and agrees that CLIENT will not be compensated by the MEMBER for any ‘lost opportunity’ viz. notional profits on buy/sell orders which could not be executed due to any reason whatsoever, including but not limited due to time lag in the execution of the order or the speed at which the system of the MEMBER or of the Exchanges is operating, any shutting down. by the MEMBER of his/ her/ its system for any reason or the MEMBER disabling the CLIENT from trading on its system for any reason whatsoever.
The CLIENT confirms and agrees that CLIENT shall not assign or transfer all or any of its rights or obligations. I. SEVERABILITY: The CLIENT confirms and agrees that in case anyone or more of the terms and conditions confirmed by the CLIENT becomes invalid, illegal or unenforceable in any respect under any law, the validity, legality and enforceability of the remaining provisions contained herein shall not in any way be affected or impaired thereto.
19.ADDRESS FOR COMPLAINT / INVESTOR GRIEVANCES AND COMMUNICATION:
The Client understands and confirms to send all the grievance or complaint arising out of and in the course of trading in securities as mention below. For any grievance/dispute please contact Member (Khandwala Securities Limited) at the above address or email id – firstname.lastname@example.org and Phone no. 91-22-40767373, Fax no.91-22-40767377.ln case not satisfied with the response, the clients are free to contact the concerned exchange(s) NSE at email@example.com and Phone no. 91-22-26598190, BSE at mahesh.ghadi@ bseindia.com and Phone no.91-22-22728517,as applicable. The Client further understands and agrees that MEMBER may take 7 working days time to reply on such complainant/query. All notices or communications other than above and excluding instructions to carry out trades shall be sent in anyone or more or all of the following ways:
by registered post
by express delivery post d. by telegram
by affixing it on the door at the last known business or residential address
by communication to the party on the last known telephone number or on the recorded machine of such number.
by advertising it in at least one prominent daily newspaper having circulation in the area where the last known business or residential address of the Respondent is situated.
by sending a email to the Client on the email address by the MEMBER. I. by electronic mail or sending a message through trading system.
The CLIENT agrees and confirms that except for the claims/disputes which are subject to the Rules and Regulations of the respective Exchanges on which the trades have been executed, any and all claims and disputes arising out of or in connection with this Document or its performance shall be settled by arbitration by a single arbitrator to be appointed by the MEMBER. The parties agree that the arbitration shall be held at such place within India as the MEMBER may in its sole discretion specify at the time of, or at any time prior or subsequent to, the reference to arbitration. The Courts at the place specified by the MEMBER for holding the arbitration proceedings or, if law does not permit the same, the Courts at the city in which the MEMBER’s concerned office is situated, shall have exclusive jurisdiction in relation to this Document, the arbitration and all matters arising in connection herewith and therewith. The arbitration shall be governed by the provisions of the Arbitration and Conciliation Act, 1996.
This service does not constitute an offer to sell or a solicitation of an offer to buy any shares, securities or other instruments to any person in any jurisdiction where it is unlawful to make such an offer or solicitation. This service is not intended to be any form of an investment advertisement, investment advice or investment information and has not been registered under any securities law of any foreign jurisdiction and is only for the information of any person in any jurisdiction where it may be lawful to offer such a service. Further, no information on www.kslindia.com is to be construed as a representation with respect to shares, securities or other investments regarding the legality of an investment therein under the respective applicable investment or similar laws or regulations of any person or . entity accessing www.kslindia.com.
PROPRIETARY TRADING The CLIENT confirms and acknowledges that the MEMBER undertakes proprietary trading in addition to CLIENT based trading. The CLIENT confirms having read and understood the terms and conditions of the MEMBER CLIENT Document and those relating to various services and products and accepts and agrees to be bound by the terms and conditions including those excluding/limiting the MEMBER’s and Exchanges’ liabilities.
RESEARCH/TRADING RECOMMENDATION: Client understands that the Member carries out fundamental and trading research / notes / trading calls / technical calls, particularly on companies, industry, stock markets, commodity markets and economy from time to time (collectively hereinafter referred to as “material”). Client may request the Member to provide such material through email or by access to the website of the Member or through SMS or any other mode on a voluntary basis by paying charges specified by the Member which shall be levied and debited to the Ledger Account of the Client maintained by the Member from time to time. Client understands and agrees that by agreeing to receive such material, Client is aware that said material is only for personal information of the Client and that the same shall not be reproduced or redistributed to any other person. Further Client understands and confirms that said material is not an offer or the solicitation of an offer to buy any security and by sending this material on request, Member or any of its officers, directors, personnel and employees shall not be liable for any loss, damage of any nature, including but not limited to direct, indirect, punitive, special, exemplary, consequential, as also any loss of profit in any way arising from the use of this material in any manner. Client is aware that the investments discussed in the said material may not be suitable for all investors. Client shall, therefore, before dealing and/or transacting in any of the products referred to in the said material, make own investigation, seek appropriate professional advice. Client shall be fully responsible/ liable for all decisions on investments / disinvestments taken by him / her / it on the basis of the said material. Client understands, confirms and agree that Member may discontinue providing such material and that Member shall have no responsibility to update any information provided to the client nor does Member represents that the information provided in the said material is complete. Further by providing such material Member is not acting as a portfolio or neither financial adviser nor does Member assumes any fiduciary duties.
Signature of the Applicant