Ease information disclosure norms for privately placed NCDs: FIDC

At present SEBI rules require standalone financial information for at least last three years and auditor qualifications from the entity seeking to issue NCDs

Finance companies have sought an amendment to the Securities and Exchange Board of India (Sebi) regulations, seeking easier disclosure requirements pertaining to the furnishing of aud­ited financial figures of the last thr­ee years for private placem­ent of debentures.  At present, Sebi norms require the stand-alone financial information (such as P&L statement and balance sheet) for the last three years as well as auditor qualifications, from the issuer seeking to issue listed non-convertible debentures (NCDs). 

Finance Industry Development Council (FIDC), in a communication to the Sebi chairman, said: “We respectfully submit that the said regulations be amended for private placement of NCDs.