Page 17 - Sebi Norms

Sebi directs Trafiksol ITS Tech to refund investors' money within a week

The market regulator has proposed stringent norms for the listing of SMEs following such concerns in the segment

Sebi announces interoperability for stock exchanges from 1 April 2025

NSE to act as an alternative avenue to BSE in initial phase; move aimed to ensure business continuity

Alternative investment funds gain currency as fundraise tops Rs 5 trillion

Funds raised and commitments in AIFs have surged 30% Y-o-Y

Sebi introduces mark-to-market basis valuation for repo transactions by MFs

Markets regulator Sebi on Tuesday decided to introduce new valuation metrics for repurchase or repo transactions by mutual funds, whereby securities used in such transactions will be valued on a mark-to-market basis. The new valuation metrics are aimed at having uniformity in valuation methodology of all money market and debt instruments as well as at addressing the concerns of unintended regulatory arbitrage that may arise due to different valuation methodology adopted. The new framework will come into effect from January 1, 2025, the Securities and Exchange Board of India (Sebi) said in its circular. In its circular, Sebi said it has decided that the "valuation of repurchase (repo) transactions including TREPS with tenor of up to 30 days shall also be valued at mark to market basis". At present, repo transactions including tri-party repo (TREPS) with tenor of up to 30 days are valued on cost-plus accrual basis. Further, the valuation of all repo transactions, except for overnigh

ICAI framing compulsory qualifications for forensic audit professionals

The criteria may include mandatory completion of Forensic Standards Course and ICAI membership

Mkt regulator Sebi mulls new appointment process for key officials at MIIs

Proposes to align their hiring process with that of MD

What is the US SEC and its Indian counterpart Sebi in market regulation?

The US Securities and Exchange Commission ensures market transparency and investor protection. India's Securities and Exchange Board of India plays a similar role of regulating the financial markets

CIEL HR Services files draft IPO with Sebi, aims for Rs 335 cr via issue

CIEL HR Services Ltd, which provides technology-driven human resources solutions, has filed preliminary papers with capital markets regulator Sebi to raise funds through an initial public offering (IPO). The proposed IPO is a combination of fresh issue of equity shares worth Rs 335 crore and an offer for sale (OFS) of 47.4 lakh shares by promoters and other selling shareholders, according to the draft red herring prospectus (DRHP) filed on Tuesday. At present, promoters and promoter group entities hold 87 per cent stake in the company. Besides, the company may consider raising Rs 67 crore through a pre-IPO placement. If this is carried out, the fresh issue size will be reduced. Proceeds from the fresh issue will be used for acquisition of additional shareholding in subsidiaries -- Firstventure Corporation, Integrum Technologies, Next Leap Career Solutions, People Metrics and Thomas Assessments -- funding incremental working capital requirements of the company, unidentified inorgani

New F&O rule to come into effect from Thursday, Nov 21; here's what changes

All new futures & options contracts to be introduced from November 21, 2024 will have an increased Lot Size owing to meet the Sebi mandate on higher contract value.

Sebi proposes tighter IPO rules for SMEs, seeks views on minimum amount

The regulator also sought views on whether the minimum application amount should be even higher at Rs 4,00,000

Govt planning to sell stakes in 4 state-run banks to comply with Sebi norms

The Securities and Exchange Board of India (SEBI) requires listed companies to maintain a 25 per cent public shareholding, but has exempted government-owned firms from meeting these norms till August

Sebi asks CRAs to verify issuer's funds availability on non-payment of debt

Markets regulator Sebi on Monday directed Credit Rating Agencies (CRAs) to verify the issuer's fund availability and ascertain the reasons for payment failure in cases where non-payment of debt arises due to factors beyond the issuer's control. Also, CRAs have to ensure that the required payments are deposited into an escrow account on the due date in these cases. These additional guidelines have been introduced to address scenarios of non-payment of debt (principal or interest) caused by factors beyond the issuer's control. These factors include issues such as incorrect investor account details, outdated payment information, or government-mandated account freezes. "It has been decided that in the aforesaid scenario, the CRA shall confirm and verify the availability of adequate funds with the issuer and also confirm and verify the proof of failure of the required payment of debt (principal and/ or interest) and the reasons for failure," Sebi said in its circular. Additionally, CRA

Sebi flags need for tighter regulations as royalty payments increase

Securities and Exchange Board of India (Sebi) said one out of two times listed companies that paid royalty, did not pay dividend or paid more royalty to RPs than dividend paid to other shareholders

Sebi mulls raising investment limit by angel fund in startup to Rs 25 cr

Markets regulator Sebi on Wednesday proposed raising the maximum investment limit by an angel fund in a startup to Rs 25 crore, a move that can provide a boost to the new-age technology companies. It has been proposed that the minimum investment limit should be reduced to Rs 10 lakh from Rs 25 lakh at present and that the maximum investment limit be increased to Rs 25 crore from the current Rs 10 crore, Sebi said in its consultation paper. Additionally, the regulator has proposed allowing only "accredited investors" to invest in angel funds, looking to rationalise their fundraising processes, strengthening disclosure as well as governance requirements and providing operational clarity and investment flexibility. These proposals aim to restrict angel funds to investors with commensurate risk appetite and ability to evaluate investment proposals, while also enhancing the ease of doing business in this space, Angel Funds, a type of Category I AIFs - Venture Capital Funds, provide capit

Stock exchanges roll back direct payout of securities to client accounts

Faced 'slight delays' in some cases, claim exchanges in a joint statement

Sebi extends deadline till Nov 26 for comments on proposed SDP recognition

Markets regulator Sebi on Tuesday extended the deadline for public comments till November 26 on the proposal concerning requirements for recognition as specified digital platforms (SDPs). Earlier, the comments from the public were sought till November 12. "Based on the representations received by Sebi from some of the entities/organisations, it has been decided to extend the timeline to submit the public comments on the consultation paper till November 26, 2024," the regulator said in a statement. In its consultation paper, Sebi proposed requirements for recognition as specified digital platforms whereby such platforms should proactively prevent fraud, impersonation, unauthorised claims, and unregistered entities from operating. The regulator suggested that specified digital platforms use artificial intelligence or machine learning (AI/ML) tools to identify content or ads related to securities, ensuring the entity is Sebi-registered or permitted, no unauthorised advice, ...

Sebi orders attachment of bank accounts of Venugopal Dhoot, Electroparts

Capital markets regulator Sebi has ordered the attachment of bank accounts and shares and mutual fund holdings of Venugopal Dhoot and Videocon industries' promoter entity Electroparts (India) to recover dues of around Rs 68.5 lakh. Before this, the regulator on September 30 sent a notice to Videocon Industries' promoter entity Electroparts (India) Pvt Ltd and its Chief Executive Officer (CEO) Venugopal Dhoot and asked them to pay dues within 15 days in a case on insider trading activities in the shares of Videocon Industries. The attachment notice came after Dhoot and Electroparts (India) failed to pay the fine imposed on them. In two attachment orders passed on Friday, the markets watchdog has ordered the attachment of bank, demat accounts and mutual fund folios of Venugopal Dhoot and Electroparts (India) to recover the pending dues. Going by the notices, dues of Rs 68.52 lakh were pending with Dhoot and Electroparts (India), which includes interest and recovery costs. As per the

Sebi looks to expand scope of unpublished price-sensitive information

To enhance transparency in market disclosures, Sebi is looking to broaden the scope of Unpublished Price Sensitive Information (UPSI) by including proposed fundraising activities, restructuring plans, and one-time bank settlements. In its consultation paper, Sebi has proposed that only agreements, including shareholder, joint venture and family settlement, that affect the management and control of the firm and are known to the firm should be considered price-sensitive and included in the illustrative list of events under the definition of UPSI. Additionally, key developments in corporate insolvency proceedings, such as initiation or approval of resolution plans by the tribunal, should be disclosed as potentially price-sensitive. If a forensic audit is launched or concluded for issues like fund misappropriation or financial misstatements, it should be disclosed as price-sensitive. The proposed changes to Sebi's definition of UPSI are aimed at increasing regulatory clarity and ...

BS BFSI Summit: Sebi WTM Ananth Narayan for strengthening of MII ecosystem

Sebi whole-time member says regulator to float consultation paper to consider demerger of equity clearing corporations from exchanges

Sebi mulls allaying concerns on 'skin in the game' rule for MF employees

To address concerns about the "skin in the game" rule for designated employees of mutual funds, Sebi on Thursday proposed reducing the mandatory investment percentage, applying it based on salary brackets, and excluding non-cash components like ESOPs from the minimum investment calculation. The proposals aimed at easing compliance, particularly for employees with lower CTCs and those in operational roles. At present, AMC employees such as the CEO, CIO, and fund managers are required to invest 20 per cent of their annual salary and perks in the mutual funds they manage. This amount is locked in for three years. In its consultation paper, Sebi has proposed that the "minimum mandatory investment amount may be reduced from 20 per cent and made applicable slab-wise, based on the CTC of the employees". Employees earning below Rs 25 lakh would have no mandatory investment, while those with a CTC between Rs 25-50 lakh would invest 10 per cent, those between Rs 50 lakh-1 crore would invest