Skeleton staff should be allowed to be in head offices to run the Brokerage houses: Vijay Bhushan, ANMI

Vijay Bhushan, President, Association of National Exchanges Members of India (ANMI), speaks about the problem that brokers and their employees are facing and their demand among other things during an interview with Anil Singhvi, Managing Editor, Zee Business. Edited Excerpts: 

Q: Tell us about the kind of problems that brokers and their employees are facing at present?

A: We are just not national stock exchange but we have a family called Association of National Exchanges Members of India and represent almost every member. We are an association of around 900 members. The markets are open and our brokers are acting as the soldiers of the financial sector who are fighting from the front. They reach their offices by keeping their safety aside. But down the line, only six states have permitted them to go to the office. So, we have informed to the SEBI and the government that the operations that are connected to the back office, risk management and depository, can’t be operated without presence of skeleton staff in the head office. That’s why some people should be available in the head office or else the brokerage can’t be opened and that is happening today. So, at the time when all the stocks are falling and it has the supports of Indian investors, who are interested and I have seen that our clients are interested in investing for a long term at these levels in the market. But, how it can be made possible when our dealers will not be able to talk with them as our head office is not able to connect with it. So, some people should be available at the head offices to switch on all central service sad establishment of a connection or else you will not be able to run it. Even some people are supposed to reach the National Stock Exchanges (NSE), which is technologically quite ahead. 

Q: What is your demand?

A: There should be a clear direction. We have learnt that the cabinet secretary has written to every chief secretary to put all stockbroking operations under the essential services. If this can be done and conveyed to the police then we brokers are ready to manage their terminals and are ready to assist the Indian investors who are willing to enter the stock markets at these levels. But there are conditions in which several people are not able to reach to Mumbai from Thane and same is happening in Hyderabad, Delhi and Punjab. They are not allowed to move to Delhi.            

Q: What is your actual demand among the two (i) you want that that markets should be closed temporarily or (ii) they should be listed among essential services? 

A: I will go for the essential services option.

Q: Why so? Do you think that the staff members who will reach to the office can’t be affected by coronavirus?

A: Even those who are involved in essential services are facing this risk like those who are managing the petrol pumps.

Q: But petrol pumps, medicine, milk, vegetables are essential in daily life but which kind of problem will occur if the stock exchanges are closed? What is important protecting the lives of people or the market?

A: Protecting the lives is more important for me but when you have to trade-off than you will have to look that are we working for the Indian economy or not. If the media think that it must not happen then you are most welcome. But the call is justified because we are standing by our Prime Minister who kept the market opened and the cabinet secretary has informed us. Similarly, the SEBI in its yesterday’s circular has asked for including the stock exchanges into essential services. So, we are standing by them. 

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However, our stand is clear and we want to say that if people in every state can reach their offices than the market should be kept on or provide us two days and then close the market.