Page 7 - Sebi Norms

Sebi fines IAGF, trustee and managers ₹29 lakh for AIF rule breaches

Capital markets regulator Sebi has imposed penalties totalling Rs 29 lakh on six entities, including India Asset Growth Fund, its manager Essel Finance Advisors and Managers, and trustee Vistra ITCL (India) for multiple violations of AIF rules. The regulator levied a fine of Rs 11 lakh on IAGF, Rs 10 lakh on Arpan Sarkar and Jaykishan Kikani (jointly and severally), Rs 6 lakh on Vistra ITCL (India), and Rs 2 lakh on Essel Finance Advisors and Managers (EFAM), its Chief Executive Officer Vishnu Prakash Rathore (jointly and severally). The regulator, in a 39-page order, found the entities guilty of serious lapses in regulatory compliance during the inspection period from April 2021 to March 2022, Sebi said in the order on Friday. The markets watchdog observed that India Asset Growth Fund (IAGF) failed to disclose disciplinary actions and litigation history of its sponsor, manager, trustee, and key officials in its placement memorandum (PPM), as mandated under the norms. Later, the fu

Sebi plans overhaul of mutual fund rules to aid investors and industry

The Securities and Exchange Board of India (SEBI) is undertaking a comprehensive review of mutual fund regulations to make them more investor-centric and industry-friendly, a senior official said on Saturday. "We are reviewing the entire mutual fund regulatory framework to enhance ease of doing business for all stakeholders, including the regulator," SEBI executive director Manoj Kumar said at the 17th Mutual Fund Summit organised by the Indian Chamber of Commerce (ICC) here. Existing regulations governing the sector are among the lengthiest and require simplification to keep pace with evolving investor needs and industry innovations, stakeholders said. "The process has started and soon we will come out with draft regulations for feedback and consultation process before it is finalised," Kumar said without giving any timeline for the rollout of the new rules. Kumar outlined the regulator's strategic roadmap to strengthen India's securities market, with mutual funds positioned as a

Sebi allows IAs, RAs to use MFs, overnight funds to meet deposit norms

Markets regulator Sebi has allowed Investment Advisers (IAs) and Research Analysts (RAs) to use liquid mutual funds and overnight funds as an additional option to the bank fixed deposit to meet their deposit requirements. This would provide IAs and RAs an additional option, along with bank fixed deposits, to comply with regulatory requirements and help in promoting ease of doing business. Under the current rule, IAs and RAs are required to maintain a deposit with a scheduled bank. Such a deposit is required to be lien-marked to the Administration and Supervisory Body (ASB) for IAs and RAs. IAs and RAs, through their associations, have represented that they are facing certain operational difficulties in opening the FD accounts, such as non-uniform interpretation of third-party FD procedures across different bank branches and lien marking of the same in favour of ASB. They suggested that as an alternative to FD, units of a liquid mutual fund lien marked in favour of ASB may also be ..

Sebi proposes allowing all KYC agencies to act as accreditation bodies

Markets regulator Sebi on Wednesday proposed that all KYC registration agencies should be eligible to function as accreditation agencies, which is currently restricted to subsidiaries of stock exchanges and depositories. Additionally, it has been proposed to facilitate the onboarding of accredited investors based on first-level due diligence by the manager of an AIF. The Securities and Exchange Board of India (Sebi) has sought public comments till July 8 on the proposals. In its consultation paper, Sebi has proposed that "eligibility criteria for accreditation agencies may be expanded such that all KRAs (KYC registration agencies) are eligible to function as accreditation agencies, as against only the subsidiaries of stock exchange and depositories as per current eligibility". Under the current regulatory framework, only subsidiaries of stock exchanges (with certain conditions) and depositories are eligible to become an accreditation agency. Presently, there are two accreditation .

Sebi asks portfolio managers to remove exaggerated advertisements

In a letter sent to the association of portfolio managers, Sebi directed them to adhere to the code of conduct

Block deal window: Sebi unlikely to revise rules despite elusive deals

Narrow price band of 1% hinders deal execution

Curbing frauds: Sebi brings more checks for investors via valid UPI handle

Investors will be able to authenticate if the entity receiving the payment is a valid entity under the ambit of Sebi

Sebi mandates minimum two yearly PAC meetings for commodity exchanges

Markets regulator Sebi on Thursday directed stock exchanges with commodity segments to ensure their Product Advisory Committees (PACs) meet at least twice a year, or more frequently if necessary. However, in the case of agricultural commodities, the PAC is required to meet at least once annually. Sebi's 'Master Circular for Commodity Derivatives Segment' in August 2023 issued various compliance requirements for stock exchanges and clearing corporations operating in the commodity derivatives segment. As per the Master Circular, each stock exchange is mandated to constitute a Product Advisory Committee for every group or complex of commodities that share common stakeholders or value chain participants, and on which derivatives are either currently traded or proposed to be introduced. Based on representations from market participants and following deliberations by Sebi's Commodity Derivatives Advisory Committee (CDAC), the regulator has revised the meeting frequency guidelines for ...

Sebi rolls out verified UPI and a fraud detection tool for investors

Measures launching on Oct 1 will help people verify payments they make in market transactions

Sebi issues warning letters to NSDL over compliance and cyber alert lapses

Securities and Exchange Board of India warns NSDL for lapses in demat account visibility and cyber alert tracking, urging stronger controls to avoid future issues

Omnivore India, others settles with Sebi over delay in winding up VCF

Omnivore India Capital Trust and Omnivore Capital Management Advisors have settled a case pertaining to alleged delay in winding up the venture capital fund on payment of Rs 14.62 lakh. This came after the two entities filed an application with Sebi proposing to settle the enforcement proceedings that may be initiated against them for the violation of regulatory norms. In its settlement order passed on Wednesday, Sebi noted that the entities shelled out Rs 14.62 lakh and settled the matter. Accordingly, the regulator said it would not "initiate any enforcement action against the applicants for the said violations". The case relates to an alleged delay in winding up the venture capital fund, Omnivore India Capital Trust. The fund was registered with Sebi on June 1, 2011, as a Venture Capital Fund. The initial close and final close of the fund happened on April 2, 2012 and January 16, 2014, respectively. The Securities and Exchange Board of India (Sebi), which conducted a thematic .

HDFC Bank, ICICI Bank stocks may feel Bank Nifty weight rejig pressure

Capping single-stock weight at 20% in non-benchmark indices may trigger ₹3,800 crore selloff in HDFC, ICICI Bank and pave way for Yes Bank, Union Bank entries

IndusInd Bank may need to reset its 'committee of executives' now

Anil Rao's stay on 'committee of executives' to run daily ops on radar

Sebi bars promoters, manipulators in Sadhna Broadcast pump and dump matter

Retail investors misled via YouTube videos in Sadhna Broadcast case as Sebi bans 59 individuals including actor Arshad Warsi and imposes Rs 20 crore in penalties

Jio BlackRock AMC gets Sebi approval, names Sid Swaminathan as CEO

Jio BlackRock AMC receives Sebi's final approval to start mutual fund business and appoints Sid Swaminathan as MD & CEO, aiming for innovation and inclusivity

Sebi eases norms for Category II AIFs on debt securities investments

Category II AIFs can now invest in listed debt securities rated 'A' or below, offering more flexibility and investment opportunities

Looking into possible 'egregious violation' at IndusInd Bank: Sebi chief

Sebi is examining IndusInd Bank for possible regulatory breaches amid allegations of insider trading and fraud in derivative accounting

Logistics firm Shiprocket confidentially files draft papers for IPO

Shiprocket's IPO will include a fresh issue and offer for sale; proceeds to fund tech upgrades, acquisitions, and expansion of logistics and warehousing capacity

Shiprocket plans to raise ₹2K cr-2.5K crore via confidential IPO route

Logistics unicorn Shiprocket is preparing a ₹2,000-2,500 crore IPO comprising fresh issue and OFS, with proceeds likely to go into tech, warehousing, and expansion

Sebi revises norms, bars managing directors from MIIs' audit committees

Sebi excludes Executive Directors including MDs from audit committees of MIIs and mandates stricter internal audit norms based on industry feedback and SMAC inputs