BSE asks brokers to submit internal audit report for 6 months by June 30

Leading stock exchange BSE on Friday directed brokers to submit by June 30 the internal audit report for six months ended March 31.

Non-submission of the report within the cut-off period will attract penalty.

All brokers and clearing members are required to carry out complete internal audit on a half-yearly basis by independent chartered accountants or company secretaries who do not have any conflict of interest.

In a circular BSE said that all trading and clearing members have been "directed to submit the internal audit report for half year ended March 31, 2017 to the exchange on or before June 30, 2017". The documents will not be accepted in physical form, it said. Non-submission or delay in submitting the report by June 30 will be treated as non-compliance.

"Stock brokers are reminded to submit the Internal Audit Report electronically through BEFS before the due date in order to avoid non/delay submission charges and any disciplinary action against them for the non-submission of the report," the exchange noted.