PRESS TRUST OF INDIA
Mumbai, 15 November
Market regulator the Securities and Exchange Board of India is likely to come out with detailed guidelines on corporate disclosures on Monday, aiming to improve the quality of giving out information by companies.
“Today, there are 1,100 companies which are not compliant with the requirement of clause 35 of shareholding pattern, which means the direction with regard to shareholding pattern has not been complied with…. Also, there are 900 companies which are not compliant with the corporate governance norms as per clause 49…..You will accept that this can’t go on like this,” Sebi chairman UK Sinha said addressing a capital market summit organised by Ficci here.
“We are going to announce something on Monday… With regard to quality of corporate disclosures, we have decided to come up with detailed guidelines about quality of corporate disclosures,” Mr Sinha said, adding that details will be released on Monday.
The regulator also said that it would have a re-look at the delisting guidelines.
“We will have a re-look at delisting guidelines…The process has already started,” Mr Sinha said, adding if required, the Sebi may look at the rules for preferential allotment of shares by companies.
Meanwhile, the market regulator also noted that domestic companies couldn’t ignore the global developments, which are moving towards more investor activism.