The Securities Exchange Board of India (SEBI) on 28th December 2021 has taken various decision in the board meeting and has approved a host of amendments to tighten various regulations.
Key Highlights from the Board Meeting:
The Board approved a proposal to introduce provisions in the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements)Regulations, 2015 (“LODR Regulations”/ “LODR”) relating to appointment or re-appointment of persons who fail to get elected as directors, including as Whole-time directors or Managing Directors or Managers, at the general meeting of a listed entity.
The Board approved amendment to Mutual Fund Regulations to mandate the Trustees to obtain the consent of the unitholders when the majority of the trustees decide to wind up a scheme or prematurely redeem the units of a close ended scheme.
Amendments to the SEBI {KYC (Know Your Client) Registration Agency} Regulations, 2011 towards enhancing the role of KYC Registration Agencies (KRAs) has been approved by the board.
The Board approved the proposal to amend the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015 for issuance of securities in dematerialized form in case of investor requests for issue of duplicate shares etc. This move will improve ease, convenience and safety of transactions for investors.
Further, the board considered and approved the amendments to the SEBI (Foreign Portfolio Investors) Regulations, 2019 to enable SEBI to generate unique Page registration numbers of FPIs on receiving the basic details of the applicants seeking FPI registration from either of SEBI registered Depositories.
The Board approved the following amendments to the Settlement Regulations:
- Time-period for filing a settlement application rationalized to 60 days from
- The date of receipt of the show cause notice or a supplementary notice,whichever is later.
- Clarification of certain provisions relating to the condition precedent for settlement, non-monetary terms, provisions relating to irregularity in procedure, settlement scheme and legal costs, in the settlement process.
- Time-period for submission of Revised Settlement Terms Form, after the Internal Committee (IC), rationalized to 15 days from the date of the IC meeting.
- Time-period for remittance of settlement amount and compliance of all the settlement terms rationalized.
- All payments under the Settlement Regulations to be accepted only through the dedicated payment gateway.
