Customer Protection Fundis the fund set up by the Stock Exchanges to meet the legitimate investment claims of the clients of the defaulting members that are not of speculative nature. In 1985, the Central Government had stipulated for the setting up of Customer Protection Fund by different stock exchange which were following varying practices with respect to management and disbursement from the CPF. In order to bring uniformity in the practices follow by stock exchanges in respect of CPF, SEBI has prescribed comprehensive guidelines for utilisation of CPF at the Stock Exchanges, in Oct. 2004. Based on the representations received from the stock exchanges and recommendations of the Secondary Market Advisory Committee (SMAC) time to time, SEBI had modified the clauses in the aforesaid guidelines.