Define Bankers to the issue

Question

Describe briefly the term Bankers to the issue?

Answer 1

Bankers to the issue are the assortment of activities that are performed by the banker to an issue like, application with money submission of application from investors. To hold to the rules a certificate has to be obtained by a person from SEBI that grants the registration on the basis of all the activities performed by the banker to an issue. The requirements illustrated below:-

i) The application should be complete and the applicant should have the infrastructure, communication and data processing conveniences to run those activities efficiently.

ii) Directors of applicant are not engaged in any of this application and do not include any securities market.

iii) Banker to an issue as well has to take care of some information such as number of issues that is coming to the number of application with the money banker, dates on that the application is been received and date on that the refund is done to the investors.