The Securities and Exchange Board of India Act, 1992 · V — REGISTRATION CERTIFICATE

Section 15F. Penalty for default in case of stock brokers

In force · As amended up to 2026-08

15F. Penalty for default in case of stock brokers. —If any person, who is registered as a stock broker under this Act,— (a) fails to issue contract notes in the form and manner specified by the stock exchange of which such broker is a member, he shall be liable to[9] [a penalty which shall not be less than one lakh rupees but which may extend to[10] [one crore rupees]] for which the contract note was required to be issued by that broker; 1. Subs. by Act 59 of 2002, s. 12 , for "a penalty not exceeding five thousand rupees for each day during which such failure continues or five lakh rupees, whichever is higher" (w.e.f. 29-10-2002). 2. Subs. by Act 27 of 2014, s. 9, for certain words (w.e.f.8-9-2014). 3. Subs. by Act 59 of 2002, s. 12 , for "a penalty not exceeding five thousand rupees for each day during which such failure continues" (w.e.f. 29-10-2002). 4. Subs. by s. 12, ibid., for "a penalty not exceeding one thousand rupees for each day during which such failure continue" (w.e.f. 29-10-2002). 5. Subs. by s. 12, ibid., for "a penalty not exceeding five lakh rupees for each such failure" (w.e.f. 29-10-2002). 6. Subs. by s. 13, ibid ., for "a penalty not exceeding five lakh rupees for each such failure" (w.e.f. 29-10-2002). 7. Subs. by Act 27 of 2014, s. 10, for certain words (w.e.f.8-9-2014). 8. Ins. by Act 13 of 2018, s. 182 (w.e.f. 8-3-2019). 9. Subs. by Act 27 of 2014, s. 11, for "a penalty not exceeding five times the amount" (w.e.f. 8-9-2014). 10. Ins. by Act 23 of 2019, s. 184 (w.e.f. 20-1-2020). (b) fails to deliver any security or fails to make payment of the amount due to the investor in the manner within the period specified in the regulations, he shall be liable to[1] [a penalty[2] [which shall not be less than one lakh rupees but which may extend to one lakh rupees for each day during which 3[such failure continues] subject to a maximum of one crore rupees]]; (c) charges an amount of brokerage which is in excess of the brokerage specified in the regulations, he shall be liable to[4] [a penalty[5] [which shall not be less than one lakh rupees but which may extend to five times the amount of brokerage]] charged in excess of the specified brokerage, whichever is higher.

Source: India Code

How this section changed

substituted by Act 59 of 2002, s. 12
In force from 29 Oct 2002
Earlier wording: “a penalty not exceeding five thousand rupees for each day during which such failure continues or five lakh rupees, whichever is higher”
Footnote: 1. Subs. by Act 59 of 2002, s. 12 , for "a penalty not exceeding five thousand rupees for each day during which such failure continues or five lakh rupees, whichever is higher" (w.e.f. 29-10-2002).
substituted by Act 59 of 2002, s. 12
In force from 29 Oct 2002
Earlier wording: “a penalty not exceeding five thousand rupees for each day during which such failure continues”
Footnote: 3. Subs. by Act 59 of 2002, s. 12 , for "a penalty not exceeding five thousand rupees for each day during which such failure continues" (w.e.f. 29-10-2002).
substituted by Act 59 of 2002, s. 12
In force from 29 Oct 2002
Earlier wording: “a penalty not exceeding one thousand rupees for each day during which such failure continue”
Footnote: 4. Subs. by s. 12, ibid., for "a penalty not exceeding one thousand rupees for each day during which such failure continue" (w.e.f. 29-10-2002).
substituted by Act 59 of 2002, s. 12
In force from 29 Oct 2002
Earlier wording: “a penalty not exceeding five lakh rupees for each such failure”
Footnote: 5. Subs. by s. 12, ibid., for "a penalty not exceeding five lakh rupees for each such failure" (w.e.f. 29-10-2002).
substituted by Act 27 of 2014, s. 9
In force from 8 Sept 2014
Footnote: 2. Subs. by Act 27 of 2014, s. 9, for certain words (w.e.f.8-9-2014).
substituted by Act 27 of 2014, s. 11
In force from 8 Sept 2014
Earlier wording: “a penalty not exceeding five times the amount”
Footnote: 9. Subs. by Act 27 of 2014, s. 11, for "a penalty not exceeding five times the amount" (w.e.f. 8-9-2014).
inserted by Act 23 of 2019, s. 184
In force from 20 Jan 2020
Footnote: 10. Ins. by Act 23 of 2019, s. 184 (w.e.f. 20-1-2020).