Penalty for failure by any person to enter into agreement with clients.

15B. If any person, who is registered as an intermediary and is required under this Act or any rules or regulations made thereunder to enter into an agreement with his client, fails to enter into such agreement, he shall be liable to ¹[a penalty ²[which shall not be less than one lakh rupees but which may extend to one lakh rupees for each day during which such failure continues subject to a maximum of one crore rupees]].

1.  Substituted for "a penalty not exceeding five lakh rupees for every such failure", by the SEBI (Amendment) Act, 2002, w.e.f. 29-10-2002.

2. Substituted for the words "of one lakh rupees for each day during which such failure continues or one crore rupees, whichever is less" by the Securities Laws (Amendment) Act, 2014, w.e.f. 08-09-2014.