Posts
AGENDA – Felicitation meet-cum-Panel Discussion on Corporate Governance
/0 Comments/in corporate governance, Corporate Laws, SEBI /by Team CorplawChecklist for change in share transfer agent
/0 Comments/in Corporate Laws, SEBI /by Anushka VohraAnushka Vohra, Senior Manager & Ankit Singh Mehar, Executive | corplaw@vinodkothari.com
Recent regulatory developments for listed entities – critical changes under LODR and PIT Regulations
/0 Comments/in Amendments to the Companies Act 2013, Companies Act 2013, Corporate Laws, LODR, PIT, SEBI /by Team CorplawCyber security incidents to be reported quarterly to stock exchanges
/0 Comments/in Corporate Laws, LODR /by Aisha Begum AnsariCircular differs from the discussion in SEBI Board meeting
– Aisha Begum Ansari | corplaw@vinodkothari.com
Brief background
With business operations going digital, the threat of cyber attacks have increased considerably. Effective from April 2019, the Risk Management Committee of a listed entity was mandated by SEBI to discharge the function for laying down a framework for identifying the cyber security risks. In case of financial sector entities, the requirements laid down by the sectoral regulators are stricter and elaborate[1].
Additionally, the companies are required to report the cyber security incidents to an agency called Indian Computer Emergency Response Team (‘CERT-In’) which is established in terms of section 70B of the Information Technology Act, 2000 and comes under the Ministry of Electronics and Information Technology (‘MEITY’).
Present Circular
Since, the cyber security incidents are material in nature and may be relevant for the investors, SEBI vide its notification dated June 14, 2023 inserted reg. 27(2)(ba) in the Listing Regulations mandating the listed entities to disclose the details of cyber security incidents or breaches or loss of data or documents in its quarterly Corporate Governance (CG) report filed in terms of Reg. 27 (2) effective from July 13, 2023. Pursuant to the same, the stock exchanges, on September 29, 2023, released a format for disclosure of cyber security incidents in the quarterly CG report commencing from quarter ended September 30, 2023 , which covers the following:
- Confirmation on any instance of cyber security incident or breach or loss of data or documents during the quarter;
- Date of the event;
- Brief details of the event.
This article analyzes the above requirement in light of the proposal made in the consultation paper, discussion in SEBI Board meeting agenda and the gaps arising therefrom .
Read more →Workshop on Recent regulatory developments for listed entities: critical changes under LODR and PIT Regulations
/0 Comments/in Corporate Laws, LODR, PIT, SEBI /by Team CorplawRegister here: https://forms.gle/dmzuWFjxp8sL3VR4A |
Framework for voluntary delisting of debt securities notified
/0 Comments/in Bond Market, Corporate Laws, LODR, SEBI /by Team Corplaw– Sharon Pinto, Senior Manager & Palak Jaiswani, Asst. Manager | corplaw@vinodkothari.com
Our resources related to the topic:-
- Mandatory listing for further bond issues
- Bond market needs a friend, not parent
- Recent amendments relating to Corporate Bonds
- SEBI proposes rationalising Large Corporate Borrower Framework
- SEBI amends NCS Regulations – DT nominated director | Green Debt Securities | Public issue offer period
Our YouTube Videos on the related topics:
LODR Reg 30 changes: Clause-by-clause guide to implementation
/0 Comments/in Corporate Laws, LODR, SEBI /by Team CorplawTeam Corplaw | corplaw@vinodkothari.com
Regulation 30: Disclosure of Regulatory and similar Actions
/1 Comment/in Corporate Laws, LODR /by Staff– Palak Jaiswani | corplaw@vinodkothari.com
Apparently with a view to make disclosure more stringent and widen the scope of disclosures, SEBI introduced two new clauses pertaining to regulatory actions, as clause 19 and 20, in Schedule III.A.A, as a part of SEBI (Listing Regulations and Disclosure Requirements) (Second Amendment) Regulations, 2023, with effect from July 14, 2023.
Newly inserted clauses 19 and 20 in Para A Part A of Schedule III cover the regulatory and similar actions which are required to be disclosed irrespective of the materiality thresholds prescribed.
There is a huge confusion as to what sort of regulatory actions are to be covered in item 19 and 20. Trivial fines and penalties have begun coming up on stock exchange reporting. Hence, it is very important to ascertain the type of regulatory actions that fall within the ambit of either of these two clauses. This article intends to understand the scope and coverage of the aforesaid clauses.
Read more →Silence no more golden: New regulatory regime forces top listed companies to respond to rumours
/0 Comments/in Corporate Laws, LODR, SEBI /by Team CorplawVinod Kothari and Nitu Poddar (corplaw@vinodkothari.com)
– Updated February 02, 2024
Come June 1, 2024, top 100 listed companies, and thereafter, effective from December 1, 2024 top 250 listed companies, will have to mandatorily respond to market rumours, and cannot keep a policy of maintaining their own silence. What is the intent and scope of this requirement? Does this requirement expect companies to scan through more than 100000 mainstream media publications, and news channels and innumerable investor influencers, keep searching for the written or spoken word about the company, and then keep responding to all the din about the company? Or, the intent is just to ensure that a false market in the company’s securities is not being created or propped up by the company’s silence? And if the company is to respond to rumours, how and where does it respond?
These are some very pertinent questions bothering the larger of the listed entities. We are trying to address some of these questions below.
Read more →