IFSCA has initiated regulatory action against the non-compliant intermediaries and issued a broader advisory to all market participants to ensure strict adherence to regulatory requirements. Photo Credit: cueapi

The International Financial Services Centers Authority (IFSCA) has issued 60 warnings to capital market intermediaries (CMIs) operating in GIFT City this fiscal year for lapses including unattended offices during business hours, absence of key personnel, weak operational infrastructure and use of remote access software for trading.

The unified regulator, which has been conducting a series of market intelligence visits to assess operational “substance” among registered entities, found that several intermediaries were either non-functional during business hours or lacked key managerial personnel at their registered offices. In multiple instances, neither the Principal Officer nor the Compliance Officer was present, raising concerns over governance and accountability standards.

IFSCA also pointed out structural weaknesses, including inadequate infrastructure to support core business activities and instances where the same individual was handling both compliance and trading roles — highlighting potential conflicts of interest. The regulator further noted the use of remote access tools such as AnyDesk and UltraViewer for trading activities, practices that are inconsistent with the regulatory framework governing operations within the IFSC.

action initiated

IFSCA officials told the businessline that in FY 26 (till date), warnings have been issued in 60 cases and 10 cases have been referred to enforcement. In 51 cases, IFSCA has also issued advisories. “In some CMIs, one common person was appointed both as Principal Officer and Compliance Officer. In a few cases, these instances were repeated despite the issuance of Warnings/Advisories by the Authority to the CMIs…. In some cases, IFSCA officials also observed that the compliance officer was also handling the trading desk, which is a conflict of interest,” IFSCA stated.

“In some CMIs, the designated Principal Officers and Compliance Officers lack adequate awareness of the regulatory framework applicable to Capital Market Intermediaries. Additionally, it was observed that in some cases, only back-office staff were present during inspections,” it added. There are over 175 capital market intermediaries functioning out of GIFT IFSC which includes broker dealers (92) and clearing members (24). There are also smaller number of credit rating agencies, custodians, debenture trustees, depositary participants, distributors of capital market products and services, Global Access Providers, Investment Advisors, Investment Bankers and Research Entities who fall in this category.

These findings by IFSCA point to breaches of key provisions under the IFSCA Capital Market Intermediaries Regulations, 2025, particularly those relating to the physical presence of key management personnel and maintenance of operational infrastructure. Despite prior warnings and advisories in some cases, certain entities were found to be repeat offenders.

Following the inspections, IFSCA has initiated regulatory action against the non-compliant intermediaries and issued a broader advisory to all market participants to ensure strict adherence to regulatory requirements.

Published on March 20, 2026

The over 10 per cent fall in gold prices over the past month has boosted gold jewelery sales on the occasions of Gudi Padwa and उगाडी on Thursday.

The All India Gem and Jewelery Domestic Council estimated that sales were 10 per cent higher compared to last year in terms of value.

On Friday, gold prices fell further by ₹671 to ₹1,47,218 per 10 g against ₹1,47,889 on Thursday. In contrast, silver prices increased by ₹2,491 to ₹2,32,364 per kg against ₹2,29,873 on strong buying support.

Rajesh Rokde, Chairman of the council, said Gudi Padwa was overall good across the country. In Maharashtra, it holds special significance as it marks the New Year. In Karnataka and Andhra Pradesh, similar festivals such as उगाडी were celebrated.

Silver more than double

One of the key reasons behind this is the price trend last year, gold was around ₹88,500, whereas this year it has reached about ₹1.48 lakh.

Similarly, silver, which was around ₹1.03 lakh on Gudi Padwa last year, is now close to ₹2.45 lakh. Customers are well aware that prices in long-term will only go up, he said.

“Attractive offers by jewelers across the country also played a big role in driving this demand. Overall business worth around ₹22,000 crore may have been done on a single day,” he said.

diamond, gems

Dr Saurabh Gadgil, CMD, PNG Jewellers, said there was a strong participation from customers as Gudi Padwa was a key gold-buying occasion in Maharashtra. It also marks the start of the wedding season.

The recent fall in prices further strengthened the buying sentiment with good traction in diamond jewelery and colored gemstones, he said.

“We expect about 20 per cent year-on-year growth in value terms, led by wedding-related demand ahead of Akshay Tritiya, while volume growth may remain in single digits due to the sharp rise in gold prices over the past year, he said.

Published on March 20, 2026