Markets regulator Sebi plans to put in a framework for continuous listing norms for listed entities, according to a regulatory source. The move comes when multiple agencies and regulators are clamping down on suspected shell companies as part of larger efforts to curb undisclosed money.
The Securities and Exchange Board of India (Sebi) has strict norms for listed entities and these are updated on a continuous basis.
The source said the regulator was looking to further strengthen the surveillance mechanism and weed out “paper-compliant companies”.
In this regard, a proposal to float an agenda paper to introduce ‘initial and continuous listing norms’ was discussed during a recent meeting of the Secondary Market Advisory Committee (SMAC), the source said quoting official documents.