The Forward Markets Commission (FMC) has stopped the registration of intermediaries that are outside its direct purview, seeking to draw a line among various watchdogs having direct or indirect association with commodity exchanges.
ďIt has come to the notice of the Commission that some intermediaries like depository participants, assayers and warehouses registered and issued with unique codes do not come under its regulatory purview. Therefore, it has been decided that the practice of registration of such internediaries shall be discontinued forthwith," FMC said in a statement. The registration and unique codes issued to the intermediaries have also been withdrawn, it added.
The FMC tweaked its April 2006 circular in which it had directed intermediaries for mandatory registration. So, intermediaries that were outside the direct control of the FMC were also issued unique code and registration numbers. It had also granted codes to commodity exchange-accredited warehouses.
Depository participants come under Sebi while assayers and warehouses are under the purview of the Warehousing Development and Regulatory Authority.