Amendment status not verified — confirm the current text below against the official source.
If the Central Government is satisfied, having regard to the nature or the volume of transactions in securities in any 2 [State or States or area], that is necessary so to do, it may, by notification in the Official Gazette, declare this section to apply to such 1 [State or States or area], and thereupon every contract in such 1 [State or States or area] which is entered into after the date of the notification otherwise than 3 [between members of a recognised stock exchange or recognised stock exchanges] in such 1 [State or States or area] or through or with such member shall be illegal. 4 [Provided that any contract entered into between members of two or more recognised stock exchanges in such State or States or area, shall-- (i) be subject to such terms and conditions as may be stipulated by the respective stock exchanges with prior approval of Securities and Exchange Board of India; (ii) require prior permission from the respective stock exchanges if so stipulated by the stock exchanges with prior approval of the Securities and Exchange Board of India.]