Section 54: Credit balances
consolidated text (as at 2018, amended since). juris shows the text as it was consolidated; it does not confirm that this is the law in force today.
54. Credit balances
(1) Any credit balances in the accounts of a client of an investment
dealer, not representing securities that are pledged, mortgaged, subject to a
lien or other security interest or given to support a guarantee or similar arrangement, shall—
(a) be payable on demand;
(b) not be used or applied by the investment dealer without the express written authority of the client; and
(c) not form part of the assets of the investment dealer for the purposes of the law relating to insolvency.
(2) Any person who fails to comply with subsection (1) shall commit an
offence and shall, on conviction, be liable to a fine not exceeding 500,000
rupees.
(3) An investment dealer shall be liable to pay its client interest, calculated in accordance with the market rate, on the credit balance in the securities accounts of the client maintained by the investment dealer.