Operational Obligations of SCSBs in the ASBA Process

Role and Responsibilities of Self Certified Syndicate Bank (SCSBs)

Role and responsibilities of SCSBs shall include the following:

1. SCSB shall designate one branch as the Controlling Branch, which shall be the single point interface for the Registrar to the Issue, Stock Exchange(s) and merchant bankers, for co‐ordination/ communication.
2. SCSB shall identify Designated Branches at which Physical Application Supported by Blocked Amount (Physical ASBA) can be submitted by investor.
3. SCSB shall ensure that a soft copy of the abridged prospectus of the relevant public issue is made available on its website, along with the Electronic ASBA, so as to enable an investor to confirm that he / she has read and understood the terms and conditions of the abridged prospectus, before applying in the issue.
4. SCSB shall comply with the instruction given by the Stock Exchanges with regard to ASBA which inter‐alia include instructions like -
(i) not accepting more one application per account per issue81
(ii) not to accept any ASBA after the specified closing time on the last day of the bidding period,
(iii) blocking the highest of the bid amount, in case there are more than one bid in ASBA.
5. SCSB shall give investors an acknowledgement for the receipt of ASBAs.
6. SCSB shall not upload any ASBA in the electronic bidding system of the Stock Exchange(s) unless –
(i) it has received the ASBA in a physical or electronic form; and
(ii) it has blocked the application money in the bank account specified in the ASBA or has systems to ensure that Electronic ASBAs are accepted in the system only after blocking of the adequate application money in the relevant bank account opened with it.
7. SCSB shall ensure that the details of a particular ASBA are uploaded only once in the electronic bidding system of any one of the Stock Exchanges. SCSB shall be solely responsible for the completion and accuracy of all details entered/ uploaded on the electronic bidding system of the Stock Exchange(s).
8. In case of withdrawal of bids by investors during the bidding period, SCSB shall ensure deletion of the withdrawn ASBA from the electronic bidding system of the Stock Exchange(s) and unblocking of funds in the relevant bank account within the timelines specified in the ASBA facility.
9. SCSB shall send the following aggregate information as per the format specified by the Registrar to the Issue, to the Registrar to the Issue after the closure of the bidding period, within the timelines specified in the ASBA facility:
(i) Total number of ASBAs uploaded by the SCSB; and
(ii) Total number of shares and total amount blocked against the uploaded ASBAs
10. SCSB shall ensure that the bank accounts specified in the ASBAs are duly blocked to the extent of the application money (including revision in bids, if any) till withdrawal/ rejection of the ASBAs or receipt of instruction from the Registrar to the Issue for unblocking the bank accounts for the purpose of transferring the funds to the issuer’s account designated for this purpose within the timelines specified in the ASBA facility. The SCSB shall also ensure that the amount blocked by it in the bank accounts specified in the ASBA form, shall be available at all times for transferring to the issuer’s account designated for this purpose at the time of finalization of allotment.
11. In case of failure or withdrawal of the issue, on receipt of appropriate instruction from the pre‐issue merchant bankers through Registrar to the issues, SCSB shall unblock the bank accounts latest by the next day of receipt of such instruction.

12. In case SCSB receives any information from the Registrar to the Issue regarding errors in bid details, the SCSB shall send the rectified data within the time specified by the Registrar.
13. SCSB shall ensure that information about revision in the bidding period or price band, as and when received, is communicated and effected to in its systems promptly, for information of ASBA investors.
14. SCSB shall take all necessary steps and co‐operate with the Registrar to the Issue, Stock Exchange(s) and merchant bankers in ensuring secured transfer of data and completion of allotment of the equity shares within the time period specified in the Red Herring Prospectus. SCSB shall ensure that information, if any, sought in relation to ASBA facility by the merchant bankers/ Registrar to the Issue, is provided promptly.
15. SCSB shall retain Physical ASBAs for a period of six months and thereafter forward the same to the issuer. However, in case of Electronic ASBAs, “printouts” of such applications need not be retained or sent to the issuer. SCSB shall, at all times, maintain the electronic records relating to ASBA facility for a minimum period of three years.
16. SCSB shall ensure that complaints of investors arising out of errors or delay in capturing of data, blocking or unblocking of bank accounts, etc. are satisfactorily redressed.

17. SCSB shall be liable for all its omissions and commissions in discharging its responsibilities in the ASBA facility.