Merger of Multiple User IDs in V-2 Portal with new User ID in V-3 and deactivation of old User ID in V-2 Portal
Notification No: 07/2023
Date: 12-Jul-23
Link for Notification:
Chrome-extension://efaidnbmnnnibpcajpcglclefindmkaj/https://www.mca.gov.in/bin/ebook/dms/getdocument?doc=MzQ5Mjk5ODgw&docCategory=Circulars&type=open
It has come to the notice of this Ministry that many members of the three institutes viz. Institute of Chartered Accountants of India, Institute of Cost Accountants of India and Institute of Company Secretaries of India have created multiple user IDs while transacting on existing MCA21 V2 portal. Further many members are not able to create user ID in the new MCA21 V3 portal due to an existing ID about which either they do not have any knowledge, or they do not remember that such an ID has been’or was created in existing V2 portal.
It has been decided that all such members may approach the respective institutes with their credentials and the institute shall make recommendations for merging multiple existing user IDs with the ID created in V3 portal or for deactivation of the old user IDs in V2, to enable desirous members to create a new ID in V3 portal. The necessary changes in the user ID in V3 portal in such cases shall be done based on recommendations forwarded by the President or Vice-president of the institute to ddegov@mca.gov.in
Master Circular for listing obligations and disclosure requirements for Nonconvertible Securities, Securitized Debt Instruments and/ or Commercial Paper
Circular No. SEBI/HO/DDHS/PoD1/P/CIR/2023/1
Date: 30-Jun-23
Link for Notification
SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 (‘Listing Regulations’), prescribes the continuous disclosure requirements for issuers of listed Non-convertible Securities, Securitized Debt Instruments and Commercial Paper. Multiple circulars have been issued, over the years, covering the operational and procedural aspects thereof.
For effective regulation of the corporate bond market and to enable the issuers and other market stakeholders to get access to all the applicable circulars at one place, SEBI has issued this Master Circular. This circular is updated till 30-Jun-2023. This circular shall come into force with effect from 1-Aug-2022.
Implementation of circular on upstreaming of clients’ funds by Stock Brokers (SBs) / Clearing Members (CMs) to Clearing Corporations (CCs)
Circular No. SEBI/HO/MIRSD/MIRSD-
Date: 30-Jun-23
Link for Notification:
The SEBI tweaked the framework pertaining to upstreaming of all client funds received by stock brokers and clearing members to clearing corporations.
Under the framework which was issued on June 08, 2023, no clients’ funds would be retained by stock brokers on an End of Day (EoD) basis. Further, clients’ funds will be upstreamed by stock brokers and clearing members to clearing corporations only in the form of either cash, lien on Fixed Deposit Receipt (FDR) or pledge of units of mutual fund overnight schemes.
As per the modified framework, stock brokers/ clearing members (SBs/CMs) may receive funds from clients beyond the prescribed cut-off time for upstreaming subject to the condition that there should not be any further movement of funds from that account (i.e. a debit freeze) till the opening of upstreaming window on the next day. Further, stock exchanges shall ensure that such funds remaining in bank accounts of SB/CM are minimal and are for legitimate purposes. Also, the tenor of FDRs shall not be more than one year and one day, and should also be pre-terminable on demand. Existing FDRs, created out of clients’ funds and having tenor or more than one year, created prior to issuance of the circular shall be allowed to be grandfathered till maturity.
SEBI (Alternative Dispute Resolution Mechanism) (Amendment) Regulations, 2023
Circular No.
Regulation No. REGD. No. D. L.- 33004/99
Date: 04-Jul-23
Link for notification:
SEBI has notified the SEBI (Alternative Dispute Resolution Mechanism) (Amendment) Regulations, 2023 vide gazette notification dated 03-Jul-2023. The ‘Dispute Resolution Mechanism’ has been inserted in SEBI various Regulations viz. Merchant Bankers; Registrars to an Issue and Share Transfer Agents; Debenture Trustees; Mutual Funds; Custodian; Credit Rating Agencies; Collective Investment Schemes; KYC (Know Your Client) Registration Agency; Alternative Investment Funds; Investment Advisers; Research Analysts; Infrastructure Investment Trusts; Real Estate Investment Trusts; Listing Obligations and Disclosure Requirements; Foreign Portfolio Investors; Portfolio Managers; and Vault Managers. They shall come into force on the date of their publication in the Official Gazette.
Appointment of Director nominated by the Debenture Trustee on boards of issuers
Circular No. SEBI/HO/DDHS/POD1/P/CIR/2023/112
Date: 04-Jul-23
Link for notification:
SEBI vide this circular provided clarity on the requirements for appointment of directors by entities that have listed their debt securities. Under SEBI norms pertaining to listing of non-convertible securities, an entity registered under the Companies Act, 2013 has to ensure that a person nominated by the debenture trustee is appointed as a director. While this obligation exists for issuers that are companies under the Companies Act, 2013). Citing issues raised by the debenture trustees and the role of a nominee director, SEBI said that issuers coming under certain categories can submit an undertaking to the debenture trustees instead of nominating a director
SEBI (Ombudsman) (Repeal) Regulations, 2023
Regulation No. REGD. No. D. L.-33004/99
Date: 04-Jul-23
Link for notification:
SEBI vide gazette notification dated 03-Jul-2023 notified Securities and Exchange Board of India (Ombudsman) (Repeal) Regulations, 2023. On and from the commencement of these regulations, the Securities and Exchange Board of India (Ombudsman) Regulations, 2003 shall stand repealed. While the repeal brings significant changes, it does not nullify actions, rights, liabilities, or penalties acquired or incurred under the previous regulations. Any ongoing investigations, legal proceedings, or remedies can still be pursued as if the SEBI (Ombudsman) Regulations, 2003 had not been repealed.
Master Circular for Credit Rating Agencies
Circular No. SEBI/HO/DDHS/DDHS-POD2/P/CIR/2023/111
Date: 03-Jul-23
Link for notification:
SEBI (Credit Rating Agencies) Regulations, 1999, prescribes guidelines for registration of Credit Rating Agencies (CRAs), general obligations of CRAs, manner of inspection and investigation and code of conduct applicable on CRAs. Multiple circulars have been issued, over the years, covering the operational and procedural aspects thereof.
In order to enable the industry and other users to have access to all the applicable circulars/ directions at one place, Master Circular for CRAs has been prepared. This Master Circular is a compilation of the existing circulars as on 03-Jul-2023, with consequent changes.
Master circular for compliance with the provisions of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 by listed entities
Circular No.
SEBI/HO/CFD/PoD2/CIR/P/2023/120 Date: 11-Jul-23
Link for notification:
SEBI, from time to time, has been issuing circulars pertaining to the compliance requirements specified in the SEBI (LODR) Regulations, 2015. This Master Circular has been prepared in order to enable the users to have access to the provisions of the applicable circulars, issued till 30-Jun- 2023, at one place. The Master Circular provides a chapter-wise framework for compliance with various obligations under the SEBI (LODR) Regulations, 2015. The circulars issued by SEBI listed out in the Appendix shall stand rescinded with the issuance of this Master Circular.
Disclosure of material events / information by listed entities under Regulations 30 and 30A of Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015
Circular No. SEBI/HO/CFD/CFD-PoD-1/P/CIR/2023/123
Date: 13-Jul-23
Link for notification:
SEBI has issued this circular consists of four annexures with respect to disclosure requirements under regulations 30 and 30A of the SEBI (LODR) Regulations, 2015 which are given below:
i. Annexure I specifies the details that need to be provided while disclosing events given in Part A of Schedule III.
ii. Annexure II specifies the timeline for disclosing events given in Part A of Schedule III.
iii. Annexure III provides guidance on when an event / information can be said to have occurred.
iv. Annexure IV provides guidance on the criteria for determination of materiality of events / information.
This circular shall come into force from 15-Jul-2023.
Trading Window closure period under Clause 4 of Schedule B read with Regulation 9 of SEBI (Prohibition of Insider Trading) Regulations, 2015 (“PIT Regulations”) – Extending framework for restricting trading by Designated Persons (“DPs”) by freezing PAN at security level to all listed companies in a phased manner.
Circular No. SEBI/HO/ISD/ISD-PoD-2/P/CIR/2023/124
Date: 19-Jul-23
Link for notification:
The framework for restricting trading by Designated Persons (“DPs”) by freezing PAN at security level to all listed companies in a phased manner is extended to all the listed companies. To ensure smooth implementation of the framework, glide path has been prescribed by SEBI. It is provided that for top 1,000 companies in terms of BSE Market Capitalization as of 30-Jun-23 (excluding companies part of benchmark indices), the PAN freeze start date is 1-Oct-23. For next 1,000 companies in terms of BSE Market Capitalization as of 30-Jun-23 and remaining companies listed on BSE, NSE & MSEI, the PAN freeze start date is 01-Jan-24 and 01-Apr-24 simultaneously. Further, it is prescribed that for the companies getting listed on Stock Exchanges post issuance of this circular, the PAN freeze begins from 1st day of the second quarter from the quarter in which the company gets listed. The procedure for implementation of the system is enclosed at Annexure- A to this circular and the flowchart for the same is enclosed at Annexure- B to this circular.
SEBI at an early stage of considering simplification of the process of on-boarding of clients by adoption of risk based approach
Press release No. 14/2023
Date: 19-Jul-23
Link for notification:
This is with reference to some media articles speculating that SEBI is seeking to curb retail participation in derivative markets. In this regard, SEBI has clarified that there is no proposal to curb retail participation in derivative markets. Currently, for trading in the derivative segment, SEBI Circular dated December 03, 2009 (now incorporated under Master Circular for Stock Brokers dated May 17, 2023), inter alia, prescribes that the stock broker shall have documentary evidence of financial capability for all clients.
Framework for Corporate Debt Market Development Fund (CDMDF)
Circular No. SEBI/HO/IMD/PoD2/P/CIR/2023/128 Date: 27-Jul-23
Link for notification:
Chapter III-C has been inserted vide amendments to SEBI (Alternative Investment Funds) Regulations, 2012 vide Gazette notification no. SEBI/LADNRO/GN/2023/132 dated June 15, 2023 in order to facilitate constitution of an Alternative Investment Fund namely, Corporate Debt Market Development Fund (“CDMDF” or “the Fund”), to act as a Backstop Facility for purchase of investment grade corporate debt securities, to instil confidence amongst the participants in the Corporate Debt Market during times of stress and to generally enhance secondary market liquidity by creating a permanent institutional framework for activation in times of market stress. CDMDF shall comply with the Guarantee Scheme for Corporate Debt (GSCD) as notified by Ministry of Finance vide notification no. G.S.R. 559(E) dated July 26, 2023, which includes the Framework for Corporate Debt Market Development Fund. The fund shall deal only in Low duration Government Securities, Treasury bills, Tri-party Repo on G-sec, guaranteed corporate bond repo with maturity not exceeding 7 days. Corporate debt securities to be bought by CDMDF during market dislocation include listed money market instruments.
Online Resolution of Disputes in the Indian Securities Market
Circular No. SEBI/HO/OIAE/OIAE_IAD-1/P/CIR/2023/131
Date: 31-Jul-23
Link for notification:
Disputes between Investors/Clients and listed companies or any of the specified intermediaries / regulated entities in securities market arising out of latter’s activities in the securities market, will be resolved in accordance with this circular and by harnessing online conciliation and/or online arbitration as specified in this circular. It is provided that an investor/client shall first take up his/her/their grievance with the Market Participant by lodging a complaint directly with the concerned Market Participant. If the grievance is not redressed satisfactorily, the investor/client may, in accordance with the SCORES guidelines, escalate the same through the SCORES Portal in accordance with the process laid out therein. After exhausting all available options for resolution of the grievance, if the investor/client is still not satisfied with the outcome, he/she/they can initiate dispute resolution through the ODR Portal.
Master Circular for Alternative Investment Funds (AIFs)
Circular No. SEBI/HO/AFD/PoD1/P/CIR/2023/130 Date: 31-Jul-23
Link for notification:
With an objective to ensure an effective regulatory framework for AIFs, SEBI has been issuing various circulars from time to time. The provisions of the aforesaid circulars issued by SEBI up to March 31, 2023, which are operational as on date, have been incorporated in this Master Circular for AIFs. Circulars providing temporary relaxations with regard to certain compliance requirements for AIFs have not been included in the Master Circular.
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