ARIHANTCAP · price
▲ positive · ▼ negative · ● neutral filings · teal = economic event · numbered = multiple that day (click to pick). Times IST.
Arihant Capital Markets, a stockbroker registered with NSE and BSE, received its Annual Secretarial Compliance Report for FY 2025-26. The report identifies 13 compliance deviations across trading operations, margin reporting, market making, and depository activities. Key issues include procedural lapses in margin/risk reporting (fine: ~₹21,000), failure to return inactive client funds within 30 days (fine: ~₹15,300), discrepancies in authorized person registration with BSE (fine: ~₹11,200), inaccurate MTF margin reporting (fine: ~₹8,000), non-participation in market making (fine: ~₹2,500), and a significant penalty of ~₹24.83 lakhs for failure to identify market-distorting reversal trades. Additionally, the company failed to disclose this large penalty to exchanges within the mandatory 24-hour timeline. CDSL penalties were imposed for non-uploading of DIS images (~₹11,000) and a PAN data typographical error (~₹500). Most penalties have been paid and management states corrective actions have been implemented, including software upgrades and strengthened internal controls.
The cumulative penalties of over ₹53.9 lakhs represent a material financial impact, though management claims most were recovered from clients or addressed through system fixes. The delayed disclosure of the major surveillance-related penalty and repeated MTF reporting issues may invite heightened regulatory scrutiny from SEBI and exchanges going forward.