Goldstream International DMCC, a Dubai-based precious metals supplier with nine years of continuous operations in the global bullion market, applied to the India International Bullion Exchange (IIBX) at GIFT City for reg

An applicant entity wishing to participate as a Qualified Supplier- Limited Purpose Trading Members [QS-LPTM] (now called as Special Category Client (SCC) on IIBX shall have to satisfy the following conditions: The entity must be engaged in the business of supplying precious metals for at least five years. The entity must have a minimum net worth equivalent to US$ 10 Million or equivalent amount as per the latest audited statement. The entity must be a member of at least one of the below-mentioned associations / exchanges, for a cumulative and contiguous period of five years: London Bullion Market Association (LBMA) CME Group (COMEX) Shanghai Gold Exchange International (SGEI) Dubai Multi Commodities Centre (DMCC) Borsa Istanbul (BIST) Or any other association / exchange as may be specified by the Authority from time to time. QS-LPTM must maintain a minimum interest-free security deposit as may be specified by IIBX for the purpose. IIDIL and / or IIBX may seek additional documents wherever considered necessary, including clarifications from the applicant entity. Process for onboarding of QS-LPTM on IIBX An entity seeking to become a Qualified Supplier -LPTM on IIBX shall submit duly filled common application form prescribed by IIBX and India International Depository IFSC Limited (IIDIL), along with the supporting documents and applicable fees, if any, to IIBX. IIBX, in coordination with IIDIL, will prescribe the Standard Operating Procedures (SOP) for the process of onboarding of the applicants for QS-LPTM status. IIDIL, in coordination with IIBX, carry out the due diligence on the applicant for opening an account for maintaining BDRs, in respect of the bullion to be brought in one of the IFSCA registered Vault Managers that are linked with IIDIL. The KYC/AML/CFT guidelines specified by the IFSCA from time to time shall be applicable on Qualified Supplier-LPTM. Goldstream International DMCC does not satisfy the prescribed requirements for onboarding as a QS-LPTM on the IIBX. Although the entity meets the experience and membership criteria, it is not eligible on following two grounds: its net worth of USD 8.2 million is below the mandatory USD 10 million threshold, and it has failed to provide evidence of maintaining the minimum interest-free security deposit. Consequently, IIBX and IIDIL cannot proceed with the Bullion Depository Receipt (BDR) account opening or registration until these deficiencies are rectified.