The Securities and Exchange Board of India (SEBI) imposed a fine of 5.05 Rubies of rupees on the Indian Clearing Corporation LTD (ICCL) for various violations. The violations included the submission of the network’s audit report to SEBI without governing the comments of the board of directors and not maintaining the inventory of correct and up -to -date assets, as well as the incorrect classification of critical mission servers.
The almost judicial authority of Sebi, G Ramar, referred to the report of Dr Bimal Jalan Committee on “Revue of ownership and governance of market infrastructure institutions (MIIS)” from November 2010 in the order made on February 25.
ICCL, created in 2007 as a subsidiary in exclusive ownership of BSE LTD, underwent an inspection of SEBI for the period from December 1, 2022 to July 31, 2023. During the inspection, non-compliance with the main regulatory provisions, in particular in Cybersecurity and a recovery after claim was noted.
The main allegations include:
Failure to respect the cybersecurity and cyber-resilience framework:
ICCL has neglected to maintain an updated inventory of IT assets, including software assets and the classification of criticality.
Despite the realization of the required audit, ICCL did not quickly add up the CYBER audit observations within the specified period.
Failure to meet the audit requirements of the system and network:
ICCL submitted the network audit report to SEBI without contribution from the Directorate or the Board of Directors.
While the Board of Directors of the ICCL said it has solved all audit observations, SEBI discovered the problems of inventory of non -resolved assets.
The guidelines for the activities plan of activities (BCP) and resumption guidelines after claim (DR):
The configuration of the primary servers (PDC) and the recovery servers after claim (DRS) was not aligned, in violation of the SEBI requirement for an individual correspondence.
The Committee report said: “These institutions (ie scholarships, deposits and compensation companies) are systemally important for the country’s financial development and serve the infrastructures necessary for the securities market. These institutions are collectively called market infrastructure institutions (MIIS) … They are therefore “vital economic infrastructure”.
The regulator asked ICCL to pay the penalty within 45 days of receipt of its order.
