RBI's Liquidity Management System Back Online After Technical Hiccup
Moneylife Digital Team 14 June 2024
The Reserve Bank of India (RBI) has restored functionality to its automated sweep-in and sweep-out (ASISO) system following a technical disruption.
The glitch, which occurred on RBI's ASISO facility within the e-Kuber platform, temporarily hindered Bank’s access on Wednesday. This platform plays a crucial role for banks in managing daily liquidity requirements, including parking funds at RBI's standing deposit facility and accessing funds via the marginal standing facility.
Typically, the money market operations statement, detailing the banking system's liquidity position, is released by 9 a.m daily. However, due to the incident, the release was delayed until 2 p.m.
RBI mandates banks to maintain a minimum of 4.5% of their net deposits with the central bank and ensure at least 90% compliance daily. Banks utilise RBI's marginal standing facility to meet liquidity needs as required.
Despite the disruption, treasury officials remained largely unfased as most banks maintain adequate cash reserves as per RBI regulations. The banks that managed their funding needs manually through the reverse repo and MSF windows were not impacted by the technical issue.
This marks the first failure of RBI's e-Kuber portal since its establishment in 2020, designed initially to optimise resource allocation during the Covid-19 pandemic.
The automated sweep-in and sweep-out (ASISO) facility, introduced to enhance operational flexibility for participants in the Liquidity Adjustment Facility (LAF) and Marginal Standing Facility (MSF), operates nightly to adjust balances automatically. However, on Tuesday, a technical issue prevented the expected debits and credits, as noted by treasury officials.
SecUR Credentials, Managing Director Faces SEBI Action over Financial Misconduct
Moneylife Digital Team 14 June 2024
Securities and Exchange Board of India (SEBI) has debarred background check company SecUR Credentials and its managing director (MD) Rahul Belwalkar from the securities market, for imposing significant restrictions due to alleged...
SEBI Penalises Majestic Auto for Not Obtaining Audit Committee, Shareholders' Approval on Related-party Transactions
Moneylife Digital Team 13 June 2024
Securities and Exchange Board of India (SEBI) has imposed a penalty of Rs7 lakh on Majestic Auto Ltd for the company's failure to obtain approval from the audit committee and shareholders for related party transactions (RPTs) during...
SEBI Imposes Rs2 lakh Fine on Ascom Leasing & Investment over Misclassification in Promoter Group
Moneylife Digital Team 13 June 2024
Securities and Exchange Board of India (SEBI) has levied a fine of Rs2 lakh following an adjudication order scrutinising the trading practices of specific entities associated with Ascom Leasing and Investments Ltd (noticee). This...
SEBI Slaps Rs2 Crore Penalty on CNBC Awaaz's Ex-editor Pradeep Pandya, Analyst Alpesh Furiya, Bars 8 from Markets for Fraudulent Trading Activities
Moneylife Digital Team 12 June 2024
The Securities and Exchange Board of India (SEBI) has imposed a fine of Rs1 crore each on Pradeep Pandya, former markets editor of CNBC Awaaz, and Alpesh Vasanji Furiya, a technical analyst, for engaging in fraudulent trading...
Free Helpline
Legal Credit