n NISM Certifications
VII NISM Series VII
Medium

A Stock Broker must submit periodic reports and returns to SEBI. If he fails to do so, the penalty will be _______ per day, subject to a maximum of _______.

Practice question from NISM Series VII Mock Test 2 — bank. The correct answer is highlighted below with a full explanation.

Options

  1. A

    ₹50,000 / ₹5 lakh

  2. ₹1 lakh / ₹1 crore

    Correct answer

  3. C

    ₹25,000 / ₹25 lakh

  4. D

    ₹1.5 lakh / ₹1.5 crore

Why this is the answer

Under Section 15A of the SEBI Act, 1992, failure to furnish required documents attracts a penalty of ₹1 lakh per day or a maximum of ₹1 crore, whichever is lower.

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