Consequent to a detailed and extensive independent review conducted by PCS (Practicing Company Secretary) PK Parakh & Associates, we take great pleasure to announce that, Affinisio(SDD) software for the SEBI-mandated structured digital database is now fully certified as compliant (update May 2023).
We accordingly hereby certify that the Affinisio(SDD) software solution developed by Affinisio Technologies LLP and deployed in accordance with the Technological Specifications Document on internally maintained servers by listed companies/ intermediaries/ fiduciaries, is compliant with the regulatory requirements as outlined in Regulation 3(5) and 3(6) of SEBI (Prohibition of Insider Trading) Regulations, 2015, read with attendant FAQs issued by SEBI.
– Extract from PCS Certificate
What Regulations 3(5) and 3(6) actually require
Regulation 3(5) of the SEBI (Prohibition of Insider Trading) Regulations, 2015 places the duty on the board of directors, or the head of the organisation, to ensure a structured digital database is maintained. It must record the nature of the unpublished price-sensitive information, and the names and Permanent Account Numbers — or another identifier authorised by law where a PAN is not available — of the persons who shared that information and of those with whom it was shared. The regulation is explicit that the database shall not be outsourced, and that it shall be maintained internally with adequate internal controls and checks, such as time stamping and audit trails, to ensure non-tampering.
Regulation 3(6) governs how long that record must survive: not less than eight years after completion of the relevant transactions, and, where the Board has given notice of an investigation or enforcement proceeding, until those proceedings are complete.
The non-outsourcing requirement is why deployment matters here as much as function. Affinisio(SDD) is built to run on infrastructure the organisation maintains itself, with the controls and the retention the regulation contemplates.
Clients using Affinisio(SDD) now enjoy the additional benefit of having the first fully certified Structured Digital Database built by risk and regulatory experts and developed in accordance with international best practices.
The certificate in original is available for inspection at our head offices at Lower Parel, Mumbai.
