The Securities and Exchange Board of India vide its notification dated 21st September 2020 has permitted foreign portfolio investors (FPI) to write off shares of all the companies which they are unable to sell.
Earlier, write-off of securities held by FPIs who wish to surrender their registration was permitted only in respect of shares of companies that are unlisted/illiquid/suspended/delisted. However, in view of the requests received from various stakeholders, it has been decided to permit said FPIs to write-off shares of all companies which they are unable to sell.
As per operational guidelines for FPIs and designated depository participants (DDPs), write-off of securities held by FPIs who wished to surrender their registration was permitted only in respect of shares of companies that are unlisted/ illiquid / suspended/ delisted.
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