The bourse has based its argument on the grounds that if this is done the exchange will be ready to kick-off derivatives trading the minute the government notification in this regard comes through. Parliament has to clear a bill which will allow an equity derivative to come under the purview of a security as defined under the Securities and Contract Regulation Act.

The bill may be passed in the forthcoming session of Parliament.

The membership drive takes at least a month and NSE's contention is that if it is allowed to undertake the drive now, it will be in a position to start trading in derivatives as soon as the government gives its nod. Introduction of derivatives trading has already been considerably delayed. Two years ago, NSE had launched a membership drive when it seemed that equity derivatives were around the corner, but later returnedthe members' deposits when the introduction of derivatives became mired in controversy. At that time about 200 members had got themselves enrolled. This time around, the deposits and the minimum networth criteria are much less stringent.

Incidentally, SEBI has already granted in-principle approval to NSE to conduct the certification of prospective derivative traders. The response has been overwhelming and more than 500 members have already got themselves certified. "We feel that we will be able to save time if we can start off the exercise now itself. We have asked SEBI to grant us an approval for the same," said an NSE source.

Although senior SEBI officials were not available for comment, sources said that there may not be a legal hitch in giving an approval subject to the commencement of any trading only once the government approvals come through.

At a press briefing on Monday, the SEBI chairman reiterated that the market regulator was keen for an early introduction of derivatives trading and wasawaiting the government nod. He also said that SEBI had allowed NSE to undertake some preliminary groundwork in this regard, referring to approval to the certification programme of the exchange.

NSE has already prepared the software for trading and put in place the necessary infrastructure for commencement of derivatives. It has recently revamped its indices which will used as the benchmark for index based futures. The NSE board has already spelt out the membership criteria in keeping with the SEBI guidelines based on the LC Gupta committee recommendations.