10 Oct 2025 | 5 Mins Read
Sebi eases stock broker penalty rules
Flipitmoney
Sebi rationalised the penalty framework for stock brokers, reducing 235 penalties to 90. 40 penalties were removed and 105 minor procedural lapses are now "financial disincentives." The revised framework aims to remove inconsistencies, avoid multiple penalties, and reduce reputational impact. Sebi also introduced a technology-based common reporting mechanism to reduce compliance costs.