SEBI Slaps $1.7M Fine on Suzlon Energy Over Alledged Misreported Financials

SEBI has fined Suzlon Energy nearly ₹29 crore ($1.7 million) for lapses and misreporting in its financial statements, including inflated profits and inadequate disclosures. The penalty also extends to key executives, with individual fines ranging from ₹30 lakh to ₹5.75 crore.

SEBI has issued an official 96‑page order dated May 29, 2026, imposing penalties of ₹28.95 crore (~$1.7M) on Suzlon Energy and its executives for misleading financial statements. This order is the regulator’s formal circular and supersedes an earlier adjudication from June 2025. 

Key Details of the SEBI Order

• Total Penalty: ₹29 crore (~$1.7 million)
• Company Fine: ₹15.95 crore imposed directly on Suzlon Energy Limited (SEL)
• Executives Penalized:
  • Vinod R. Tanti (Chairman & MD): ₹5.75 crore
  • Girish R. Tanti (Vice-Chairman): ₹5.45 crore
  • Kirti J. Vagadia (Former Group CFO): ₹1.5 crore
  • Amit Agarwal (Former CFO): ₹30 lakh

Nature of Violations

• Misrepresentation of Financial Position: Inflated profits through questionable transactions with subsidiaries.
• OMS Business Transfer: Suzlon transferred its operations & maintenance business to Suzlon Global Services Ltd in FY14 for ₹2,000 crore, recording a profit of ₹1,923 crore despite the subsidiary lacking financial capacity.
• Contingent Liabilities Concealment: A $569 million (₹4,050 crore) exposure was reclassified as an insurance contract, omitting it from contingent liabilities.
• Disclosure Failures: Financial statements did not reflect true risks, leverage, and net worth, misleading investors.

Market Impact

• Share Price Reaction: Suzlon Energy shares fell 5% to ₹54.40 on BSE following the announcement.
• Investor Confidence: The lapses undermine trust in Suzlon’s reporting, raising concerns about governance and transparency.

Context & Background

• Investigation Trigger: An anonymous complaint in December 2019 alleging irregularities in subsidiary transactions.
• Audit Scope: Forensic audit covered FY15–FY20 and part of FY21.
• Regulatory Framework Breached: SEBI Act, PFUTP Regulations, and LODR requirements.

Risks & Implications

• Corporate Governance: Highlights weak oversight in financial reporting.
• Regulatory Scrutiny: SEBI’s strict stance signals tougher enforcement for renewable energy firms and listed companies.
• Investor Takeaway: Caution advised when evaluating Suzlon’s financial health; past disclosures may not fully reflect risks.

India Eyes Digitizing Bond Market: Blockchain Bonds and ETFs Lead Reform

India’s bond market is undergoing a major transformation: SEBI has announced pilots for tokenized corporate bonds on blockchain, expanded access through bond ETFs, and introduced stricter disclosure rules to align debt markets with equity standards. These reforms aim to boost liquidity, transparency, and efficiency in a $0.56 trillion market that currently represents ~15% of India’s GDP.

SEBI Chairman has announced pilots for tokenised corporate bonds using blockchain and a comprehensive overhaul of debt disclosure rules. These announcements were made by SEBI Chairman Tuhin Kanta Pandey at the Care Edge Debt Market Summit in Mumbai on May 26, 2026.

Bonds are debt instruments where investors lend money to governments, municipalities, or corporations in exchange for regular interest payments and repayment of the principal at maturity. They are considered part of the fixed‑income asset class and are generally less risky than equities. Government securities (G‑Secs) are issued by RBI on behalf of the Government of India. Corporate bonds are issued by companies like Reliance or Tata to raise capital.

Key Highlights from SEBI’s Announcement

• Tokenised corporate bonds
  Pilot rollout expected within 6–9 months. Bonds will be settled on distributed ledger technology (DLT), enabling near‑instant transactions instead of multi‑day settlement. Aim: reduce costs, improve traceability, and boost liquidity in India’s $0.56 trillion bond market.
• Stricter disclosure rules
  Debt issuers must disclose information at the same level as equity issuers under SEBI’s LODR framework. Includes frequent reporting, granular financial data, and standardized communication. Designed to enhance transparency and investor protection.
• Bond ETFs expansion
  SEBI is encouraging broader retail participation via bond ETFs. ETFs will provide diversification and easier access compared to direct bond purchases.

Official Remarks

• SEBI Chairman Tuhin Kanta Pandey emphasized that reforms are part of wider efforts to modernize India’s debt market infrastructure.
• He noted that technological and operational risks must be managed carefully during blockchain integration.
• The regulator is also exploring a market‑making framework in collaboration with the RBI and Finance Ministry.

Key Reforms in India’s Bond Market

• Blockchain tokenisation
  SEBI will pilot tokenized corporate bonds using distributed ledger technology (DLT). Settlement will shift from multi-day, intermediary-heavy processes to near-instantaneous transactions. Expected benefits: lower costs, improved traceability, automated servicing, and higher liquidity.
• Bond ETFs
  Expansion of exchange-traded funds (ETFs) for corporate and government bonds. Designed to make debt instruments more accessible to retail investors, similar to equity ETFs. ETFs provide diversification, transparency, and easier trading compared to direct bond purchases.
• New disclosure rules
  Issuers of debt securities must now disclose information at the same level as equity issuers. Includes frequent reporting, granular financial data, and standardized communication. Aims to enhance investor confidence and accountability.

Comparison of Old vs New Bond Market Framework

Aspect	Old Framework	New Framework (2026)
Settlement	Multi-day, intermediaries	Near-instant via blockchain
Liquidity	Limited	Higher with tokenisation & ETFs
Transparency	Fragmented disclosures	Equity-level disclosures
Retail Access	Low participation	ETFs expand retail reach
Market Infrastructure	Manual servicing	Automated via DLT

Risks & Challenges

• Technological risks
  Blockchain adoption could face scalability and cybersecurity challenges.
• Operational risks
  Integrating DLT into existing systems requires cautious rollout.
• Regulatory risks
  SEBI and RBI must balance innovation with investor protection.

Implications for Investors & Businesses

• For investors
  Easier access to bonds via ETFs, faster settlements, and more reliable disclosures.
• For corporates
  Stricter compliance requirements but potentially lower issuance costs.
• For India’s economy
  A more transparent, liquid, and globally competitive debt market.

NSE Secures SEBI Approval to Invest in India’s First Physical Coal Exchange

The National Stock Exchange of India Limited (NSE) has received approval from the Securities and Exchange Board of India (SEBI) under Regulation 38(2) of the SECC Regulations, 2018, to invest in the proposed National Coal Exchange of India Limited. This approval marks a key regulatory milestone towards the establishment of a structured market platform for physical coal trading in India.

Company will soon apply to Coal Controller Organization to secure license for setting up Coal Exchange under relevant regulatory provisions.

The proposed exchange is intended to facilitate electronic spot trading of coal through standardized contracts, enabling transparent price discovery and defined settlement mechanisms for market participants including producers, consumers and traders. The initiative is aligned with the Government of India’s coal sector reforms, including commercial mining and liberalised coal sales, and is expected to support the development of a formal, transparent and efficient market structure for coal transactions, subject to incorporation of the entity and receipt of applicable approvals.

History of Formation of Coal Exchange in India

India’s coal exchange is still in the formative stage — it has not yet been launched, but its roots lie in decades of coal sector reforms, beginning with nationalization in the 1970s, liberalization in the 1990s, and recent government initiatives to create a transparent, structured market for physical coal trading.

Background: Coal Sector Evolution in India

• Pre‑Independence & Early Years: Fragmented private ownership and limited regulation.
• 1950s Planning: Creation of National Coal Development Corporation (NCDC) in 1956.
• 1970s Nationalization: Consolidation under Coal India Limited (CIL) in 1975.

Liberalization & Reform Era

• 1990s–2000s: Captive mining allowed for industries like power and steel.
• 2014 onwards: Commercial coal mining introduced; auctioning of coal blocks.
• 2020s Reforms: Liberalized coal sales and digital governance initiatives.

Formation of the National Coal Exchange

• Regulatory Push: SEBI approved NSE’s investment in the proposed National Coal Exchange of India Limited.
• Next Steps: Application to Coal Controller Organization for license.
• Purpose: Electronic spot trading of coal via standardized contracts.
• Alignment: Supports India’s coal sector reforms and transparent market structure.

The coal exchange is not yet operational but represents the culmination of decades of restructuring — from nationalization to liberalization — now moving toward a market‑driven, transparent trading platform.

About National Stock Exchange of India Limited (NSE):

National Stock Exchange of India (NSE) was the first exchange in India to implement electronic or screen-based trading. It began operations in 1994 and is ranked as the largest stock exchange in India in terms of total and average daily turnover for equity shares every year since 1995, based on SEBI data. NSE has a fully integrated business model comprising exchange listings, trading services, clearing and settlement services, indices, market data feeds, technology solutions and financial education offerings. NSE also oversees compliance by trading, clearing members and listed companies with the rules and regulations of SEBI and the exchange. NSE is a pioneer in technology and ensures the reliability and performance of its systems through a culture of innovation and investment in technology. NSE is the world’s largest derivatives exchange by trading volume (contracts) for calendar year 2025 as per the statistics maintained by Futures Industry Association (FIA). NSE is ranked third in the world in equity segment by number of trades (electronic order book) in 2025, as per the statistics maintained by World Federation of Exchanges (WFE).

DoT–SEBI Ink MoU to Tackle Telecom‑Linked Market Frauds

India’s Department of Telecommunications (DoT) and the Securities and Exchange Board of India (SEBI) have signed a landmark MoU on April 15, 2026, to combat telecom‑linked securities frauds. The agreement enables real‑time data sharing through DoT’s Digital Intelligence Platform, aiming to protect investors and strengthen trust in India’s digital financial ecosystem.

Key Highlights of the MoU

• Date Signed: April 15, 2026
• Signatories: Shri Sanjeev Kumar Sharma (DoT), Shri Sandip Pradhan (SEBI), in presence of Shri Deb Kumar Chakrabarti
• Platform Used: DoT’s Digital Intelligence Platform (DIP), connecting 1,400+ stakeholders

Provisions of the Partnership

• Financial Fraud Risk Indicator (FRI): Shared by DoT with SEBI to flag suspicious mobile numbers linked to fraud.
• Mobile Number Revocation List (MNRL): Automatically shared with SEBI‑regulated entities to ensure valid mobile connections for investor accounts.
• Reciprocal Data Sharing: SEBI will provide inputs on telecom resources tied to accounts involved in cyber fraud or impersonation.
• Integration with Chakshu (Sanchar Saathi): Builds on DoT’s fraud‑detection system that disconnected 88 lakh fraudulent mobile connections and prevented ₹2,300 crore losses in 10 months.

Why This Matters

• Proactive Prevention: Shifts India’s regulatory framework from reactive enforcement to proactive fraud detection.
• Investor Protection: Enhances trust in India’s fast‑growing digital investment ecosystem.
• Institutional Synergy: Strengthens cooperation between telecom and financial regulators.
• Global Significance: Positions India as a leader in integrating telecom intelligence with financial regulation.

Wider Implications

• For Investors: Greater assurance that mobile numbers tied to trading accounts are genuine.
• For Regulators: A model for cross‑sector collaboration, extendable to banking and insurance fraud detection.
• For India’s Digital Economy: Reinforces credibility amid surging fintech adoption and retail market participation.

Summary: The DoT–SEBI MoU is a strategic step to safeguard India’s financial ecosystem, combining telecom intelligence with securities market oversight. It promises early detection of fraud, stronger investor protection, and enhanced trust in India’s digital economy.

From ₹15 to ₹10,887: SEBI Blocks 39 in RRP Semiconductor Stock Scam

SEBI has barred 39 individuals and entities from the securities market after uncovering alleged manipulation in RRP Semiconductor’s stock, which surged an extraordinary 725 times—from ₹15 to ₹10,887.10—within 19 months. The regulator flagged coordinated trading, preferential allotments, and misleading narratives as part of a pump‑and‑dump scheme.

SEBI has issued an official Interim Order (No. WTM/AS/IVD-2/ID20/32337/2026-27) in the matter of RRP Semiconductor Ltd. on April 10, 2026, barring 39 entities from the securities market. The Bombay Stock Exchange (BSE) also circulated a notice summarizing the order and listing the restrained parties.   

Key Details of the SEBI Action

• Date of Interim Order: April 10–12, 2026
• Entities Barred: 39 individuals and firms
• Company Involved: RRP Semiconductor Ltd.
• Stock Surge: From ₹15 to ₹10,887.10 in 19 months (a 725x increase)
• Regulatory Concerns: Coordinated trading, preferential allotment at ₹12 per share, misleading narratives, evidence from call records and financial transactions

Why SEBI Intervened

• Market Integrity Risk: Abnormal rise raised red flags
• Investor Protection: Prevent retail investors from being trapped
• Systematic Manipulation: Structured approach to inflate prices

Background on RRP Semiconductor

Originally focused on other businesses, the company shifted to semiconductors and issued preferential shares at ₹12 each. This narrative change, combined with coordinated trading, fueled the meteoric rise. The case highlights how sectoral buzzwords (like semiconductors) can be exploited to mislead investors.

Impact & Implications

Aspect	Details
Stock Price Movement	₹15 → ₹10,887.10 (19 months)
Entities Barred	39 individuals/firms
Regulatory Tool	Interim order under SEBI Act
Investor Risk	Pump‑and‑dump losses for retail investors
Evidence Used	Call records, financial transactions, trading patterns

Risks & Lessons for Investors

• Beware of unnatural surges—unsustainable growth
• Watch for preferential allotments before rallies
• Narrative manipulation using sectoral buzzwords
• Do due diligence on fundamentals before investing

Summary Table: SEBI Interim Order on RRP Semiconductor

Aspect	Details
Order Date	April 10, 2026
Order No.	WTM/AS/IVD-2/ID20/32337/2026-27
Entities Barred	39 individuals/firms
Promoters Named	Ira Mishra, Sumita Mishra, Ramesh Mishra
Trading Contributors	Multiplier, Pace, Neo
Individuals Linked	Chetan R. Shah, Bhavin Y. Mehta, Atul Goel, Nikhil Gupta
Restriction	No dealing in RRP Semiconductor shares

Takeaway

SEBI’s move underscores its increasing vigilance against market manipulation and highlights the importance of investor caution in speculative stocks. For retail investors in India, this case is a reminder to avoid chasing hype‑driven rallies and rely on fundamentals rather than narratives.

Google, SEBI Partner to Curb Fake Trading Apps With Verified Labels

Google will now label verified investment apps on its Play Store in India, working with SEBI to curb rising scams. Only brokers and intermediaries registered with SEBI will receive a “verified badge,” making it easier for users to distinguish legitimate platforms from fraudulent ones.

Key Details

• Launch Date: Announced on 25–26 March 2026
• Verification Partner: Securities and Exchange Board of India (SEBI)
• Scope: Applies to investment, trading, and financial services apps listed on Google Play in India
• Badge System: Verified apps will display a distinct badge to signal authenticity
• Coverage: Already, ~600 financial services apps have been assigned the verified label

Why This Matters

Issue	Previous Risk	New Safeguard
Fake apps impersonating brokers	Users lost money to scams	Only SEBI-registered apps get verified
Lack of clarity for investors	Difficult to spot genuine platforms	Clear verified badge on Play Store
Rising online fraud	Surge in fake trading apps	Joint crackdown by Google + SEBI

Risks & User Precautions

• Unverified apps remain dangerous: Fraudulent apps may still appear on the Play Store without the badge
• Phishing tactics: Scammers may mimic verified branding outside the Play Store
• User responsibility: Always check for the verified badge before downloading or investing

Impact on India’s Financial Ecosystem

• Investor confidence boost: Helps protect retail investors in India’s fast-growing digital trading market
• Regulatory alignment: Strengthens SEBI’s oversight of intermediaries
• Tech accountability: Google’s move signals greater responsibility in curbing financial fraud

Actionable Advice for Investors

• Download only apps with the verified badge
• Cross-check app registration with SEBI if unsure
• Avoid sideloading APKs from outside the Play Store
• Report suspicious apps directly to Google or SEBI

Business-Friendly Framing - SEBI’s Unified Penalty Structure Aims to Simplify Compliance for Stockbrokers

Stockbrokers have membership in multiple exchanges, and each exchange follows its own framework for taking penal actions for the violations / non-compliances identified by them. Differential penalty structure across exchanges has often resulted in inconsistencies, regulatory arbitrage for stockbrokers.

In order to enhance ease of doing business / compliance, transparency and to standardize penalty structure, Securities and Exchange Board of India (SEBI) constituted a Working Group with the mandate to review, harmonize, and streamline the penalty framework applicable across all stock exchanges. The Working Group was constituted keeping in mind a balanced stakeholders representation comprising of members from all recognized stock exchanges and stockbroker associations viz. ANMI, BBF & CPAI.

Accordingly, the Working Group proposed a penalty structure for SEBI’s consideration. SEBI, after reviewing the proposal, provided the penalty structure to be adopted by all stock exchanges. Procedural lapses may not be viewed and measured through the same regulatory lens as that of material violation / non-compliance, and accordingly financial penalties arising out of some of the erstwhile procedural violations / non-compliances have been classified as ‘financial disincentive’.

This unified framework is expected to promote ease of doing business / compliance for stockbrokers.

SEBI Exonerates Adani Group in Hindenburg Case, Dismisses All Allegations

In a landmark ruling that concludes nearly three years of regulatory scrutiny, the Securities and Exchange Board of India (SEBI) has cleared the Adani Group and its top executives of all allegations made by US-based short-seller Hindenburg Research. The regulator’s final orders dismissed claims of stock manipulation, undisclosed related-party transactions, and violations of securities laws.

The investigation stemmed from Hindenburg’s explosive January 2023 report, which accused the Adani conglomerate of routing funds through obscure entities—Adicorp Enterprises, Milestone Tradelinks, and Rehvar Infrastructure—to inflate stock prices and conceal financial dealings. The report triggered a massive sell-off, erasing over $150 billion in market value across Adani’s listed companies.

SEBI’s Key Findings

• The alleged fund transfers were genuine commercial loans, fully repaid with interest before the investigation began.
• The entities involved were not classified as “related parties” under the Listing Obligations and Disclosure Requirements (LODR) regulations applicable at the time.
• No violations were found under Section 12A of the SEBI Act or the SEBI (Prohibition of Fraudulent and Unfair Trade Practices) Regulations.
• Insider trading and manipulation claims were deemed unsubstantiated.

SEBI emphasized that applying newer definitions of related-party transactions retroactively would be legally impermissible. The regulator disposed of all proceedings without imposing penalties or further directions.

Market Reaction

• Adani Total Gas rallied over 13%
• Adani Power jumped 9%
• Adani Enterprises rose nearly 5% on the BSE

The verdict restored investor confidence and marked a dramatic turnaround for the conglomerate.

Gautam Adani Responds

“After an exhaustive investigation, SEBI has reaffirmed what we have always maintained—that the Hindenburg claims were baseless. Transparency and integrity have always defined the Adani Group. We deeply feel the pain of the investors who lost money because of this fraudulent and motivated report.”

Broader Implications

The SEBI ruling not only vindicates the Adani Group but also closes one of the most contentious chapters in India’s corporate history. It underscores the importance of regulatory due process and may influence future discourse on short-seller activism and corporate governance in emerging markets.

From Students to Shareholders: Hyderabad’s Niveshak Shivir Guides Investors to Safeguard Wealth

Under the aegis of the Securities and Exchange Board of India (SEBI), Investor Education and Protection Fund Authority, Ministry of Corporates Affairs, jointly organised Niveshak Shivir in Hyderabad on 30th August 2025 at Haryana Bhavan, Secunderabad. This outreach initiative aimed to assist shareholders in reclaiming unpaid dividends and unclaimed shares, thereby reducing the volume of unclaimed investor assets in the system, while also empowering investors to safeguard their investments.

The Shivir was organized in collaboration with leading Market Infrastructure Institutions (MIIs) including BSE, NSE, NSDL and the Registrar and Transfer Agents (RTAs) – KFin Technologies Limited, Bigshare Services Private Limited, Purva Sharegistry India Private Limited and MUFG Infoline Private Limited. Attendees included students, entrepreneurs, retail investors, and corporate professionals.

The event was graced by Smt. Anita Shah Akella, CEO of IEPFA and Joint Secretary, Ministry of Corporate Affairs; Shri Jeevan Sonparote, Executive Director, SEBI; Shri Sunil Jayawant Kadam, Executive Director, SEBI; Lt. Col Aditya Sinha, General Manager, IEPFA; Shri Binod Sharma, General Manager, SEBI; along with other senior officials from SEBI, IEPFA, MIIs, and RTAs.

Additionally, IEPFA and SEBI, along with other MIIs, launched an insightful Investor Guide developed by CDSL. The guide provides a step-by-step process to help investors resolve their queries related to the claims process.

SEBI’s New UPI Rule = Safer Investor Payments | Verified IDs, Green Icons, No Guesswork

SEBI’s latest initiative—“Adoption of Standardised, Validated and Exclusive UPI IDs for Payment Collection by SEBI Registered Intermediaries from Investors”—is a major step toward enhancing transparency and security in India’s securities market. Here's a structured breakdown:

Objective

To ensure secure, verified, and transparent fund transfers from investors to SEBI-registered intermediaries by introducing a standardized UPI framework.

Key Features

Exclusive UPI Handles:

All SEBI-registered intermediaries must use UPI IDs with the handle @valid<bankname> (e.g., abc.brk@validhdfc).

Segment-Specific Suffixes:

UPI IDs will include suffixes like .brk for brokers or .mf for mutual funds, ensuring clarity and traceability.

Green Triangle Icon:

Verified UPI transactions will display a “thumbs-up inside a green triangle” icon, signaling legitimacy.

SEBI Check Functionality (Coming Soon):

Investors can verify UPI IDs and bank details via QR code or manual entry.

Milestone	Date
Circular Issued	June 11, 2025
UPI IDs Available to Investors	October 1, 2025
Transition Deadline for Intermediaries	~Early December 2025 (T+180 days)

Stakeholder Responsibilities

Intermediaries:

Must obtain new UPI IDs, update contact details, and educate investors.

Self-Certified Syndicate Banks:

Must verify intermediaries before issuing UPI IDs using SEBI’s prescribed utility.

Investors:

Optional adoption, but encouraged for secure transactions. Existing SIPs remain unaffected; new ones must use the new UPI IDs.

Legal Backing

Issued under Section 11(1) of the SEBI Act, 1992, reinforcing SEBI’s mandate to protect investor interests and regulate the securities market.

Think Before You Click: SEBI’s #SEBIvsSCAM Campaign Targets Fake Apps, Deepfakes, and Dubious Tips

Securities and Exchange Board of India (SEBI) has launched a nationwide investor awareness campaign titled #SEBIvsSCAM, aimed at educating investors about various types of financial scams and how to safeguard themselves. This initiative is part of SEBI’s ongoing commitment to protect the retail investors from such scams in the securities market. Under SEBI’s guidance and regulatory oversight, the National Stock Exchange of India Ltd. (NSE) has rolled out a comprehensive investor protection drive to support this campaign.

The campaign comes at a critical time when digital financial frauds are on the rise, with fraudsters using increasingly sophisticated and deceptive methods to target investors. From fake trading apps and deepfake videos to unregistered investment advisors and misleading stock tips on social media, scammers are exploiting technology and denting investor’s trust. Many individuals fall prey to schemes promising guaranteed returns/unusually high returns, pump-and-dump tactics, dabba trading, fraudulent foreign portfolio investment offers, etc—often resulting in significant financial losses.

#SEBIvsSCAM seeks to raise public awareness, promote safe investing habits and empower investors to make informed decisions. By spotlighting common scams and offering guidance, the campaign aims to help investors recognize warning signs, verify sources and report suspicious activities—ultimately contributing to a more secure and transparent financial ecosystem.

To ensure maximum outreach, NSE, under the aegis of SEBI will leverage a mix of media platforms including television, radio, print, digital and social media. We will also spread the Investor Awareness messages through Investor Awareness Programs which are done through physical, digital and hybrid modes. This multi-channel approach is designed to reach investors across urban and rural areas, in multiple languages and through formats that are accessible and engaging to diverse audiences.

Investor Advisory: Stay Alert, Stay Protected

• Do not fall for promises of assured or fixed returns in the securities market. Such offers are illegal and misleading.
• Avoid unsolicited messages from unknown sources. Always verify information through official websites such as SEBI, NSE or the concerned company.
• Do not download unregulated apps or join chat groups offering investment advice.
• Engage only with SEBI-registered intermediaries or research analysts. Verify their credentials at: https://www.sebi.gov.in/sebiweb/other/OtherAction.do?doRecognised=yes
• Download trading apps only from SEBI-registered trading members via official app stores. Verify apps https://www.nseindia.com/trade/members-compliance/list-of-mobile-applications
• Transfer funds only to registered client bank accounts of your stockbroker. Verify account details at https://enit.nseindia.com/MemDirWeb/form/tradingMemberLocator_beta.jsp
• From October 1, 2025, investors will be able to make payments to SEBI-registered intermediaries using a standardized UPI handle format (e.g., abc.brk@validbank) .
• Report any fraudulent activity at www.cybercrime.gov.in or call the Cybercrime Helpline at 1930. For investor support, contact NSE at 1800 266 0050.

Issued in public interest by the National Stock Exchange of India Ltd under the aegis of Securities and Exchange Board of India.

Pine Labs Limited Files DRHP With SEBI

Pine Labs Limited (“The Company”), a technology company focused on digitizing commerce through digital payments and issuing solutions for merchants, consumer brands and enterprises, and financial institutions has filed its Draft Red Herring Prospectus (“DRHP”) with market regulator Securities and Exchange Board of India (“SEBI”).

The offer comprises of fresh issue of equity shares aggregating up to ₹26,000 million (₹2600 crore) (The “Fresh Issue”) and offer for sale Up to 147,822,225 Equity Shares by Selling Shareholders.(The “Offer for Sale”).

Pine Labs processed payments of ₹7,531.05 billion-in gross transaction value (“GTV”) and 3.97 billion transactions through its platforms in the nine months period ending December 31, 2024. As of December 31, 2024, company had 915,731 Merchants, 666 consumer brands and enterprises, and 164 financial institutions, who used its platforms to enable transactions quickly, securely and easily manage their business.

Pine Labs provide a wide suite of services within its Digital Infrastructure and Transaction Platform and Issuing and Acquiring Platform. According to the Redseer Report, in India, company’s core market, it were the largest player in closed and semi-closed loop gift card issuances by transaction value in Fiscal Year 2024. The company were also the largest digital affordability solution enablers at DCPs in terms of total processed value, among the top five in-store digital platforms, and a prominent Bharat Connect transactions processing solutions provider in Fiscal Year 2024, according to the Redseer Report.

The Equity Shares that will be offered through the Red Herring Prospectus are proposed to be listed on the BSE Limited (“BSE”) and National Stock Exchange of India Limited (“NSE”). (“Listing Details”)

Axis Capital Limited, Morgan Stanley India Company Private Limited, Citigroup Global Markets India Private Limited, J.P. Morgan India Private Limited and Jefferies India Private Limited are the Book Running Lead Managers to the issue. (The “BRLMs”)

JioBlackRock Broking Receives SEBI Approval to Launch Brokerage Business

Jio BlackRock Broking Private Limited (JioBlackRock Broking), a wholly owned subsidiary of Jio BlackRock Investment Advisers Private Limited (JioBlackRock Investment Advisers), has received regulatory approval from the Securities and Exchange Board of India (SEBI) to commence operations as a brokerage firm in India.

JioBlackRock Broking aims to bring affordable, transparent, and technology-driven execution capabilities for Indian investors. The broking entity’s parent company, JioBlackRock Investment Advisers is a 50:50 joint venture between Jio Financial Services Limited (JFSL) [BSE, NSE: JIOFIN] and BlackRock Inc. (BlackRock) [NYSE: BLK].

Along with the recent regulatory approvals received by Jio BlackRock Asset Management Private Limited and JioBlackRock Investment Advisers to commence operations, receipt of the broking license enables the JioBlackRock joint venture to offer holistic investment solutions to the people of India.

Marc Pilgrem, Managing Director and CEO of Jio BlackRock Investment Advisers Private Limited, said: “We are delighted to receive SEBI’s final approval for JioBlackRock Broking which moves us closer to contributing to India’s continued evolution from a nation of savers to a nation of investors. With JioBlackRock Investment Advisers, we will be able to offer personalised advice to retail investors. Now with brokerage, we will also bring an execution platform for self-directed investors. “

Hitesh Sethia, Managing Director and CEO, Jio Financial Services Limited said: “These are exciting times for us. Even as JioBlackRock’s Asset Management arm introduces innovative mutual funds to the market, and JioBlackRock Investment Advisers prepares to launch operations, the approval for the broking entity adds another dimension to our strategy of democratising investments in India, through easily accessible and digital-first solutions.”

Rachel Lord, Head of International at BlackRock, said: “JioBlackRock was founded to provide tech-enabled access to capital markets, and affordable, innovative investment solutions, to millions of investors in India. This third approval from SEBI completes the range of offerings of our joint venture. Through these three entities, JioBlackRock will provide a full suite of investment services, enabling Indian investors to work towards their financial goals.”

Infosys' Insider Trading Involving An Ex-Employee: SEBI Seizes ₹2.6 Crore and Ban Two

The Securities and Exchange Board of India (SEBI) has reportedly banned two individuals, Keyur Maniar and Ramit Chaudhri, for insider trading involving Infosys stock. SEBI has ordered the disgorgement of ₹2.6 crore in illegal gains and imposed a penalty of ₹30 lakh on each of them.

Maniar was found to have traded based on unpublished price-sensitive information (UPSI) related to a strategic partnership between Infosys and Vanguard. Ramit Chaudhri, a former Infosys employee, was fined for passing on this sensitive information.

SEBI issued a final order on January 31, 2025, mandating Keyur Maniar to disgorge over ₹2.6 crore in illegal gains made from insider trading involving Infosys shares. SEBI also imposed a fine of ₹30 lakh on Maniar and banned him from participating in the securities market for one year.

Maniar, an associate of former Infosys employee Ramit Chaudhri, traded based on unpublished price-sensitive information (UPSI) related to a strategic partnership between Infosys and Vanguard. Chaudhri was fined ₹30 lakh and barred from the securities market for a year for passing on the sensitive information.

The partnership between Infosys and Vanguard was announced on July 14, 2020. SEBI's investigation found that Chaudhri had access to inside information about the deal and shared it with Maniar, who then traded in Infosys stock before the announcement.

SEBI's surveillance system detected suspicious trades by the two individuals, leading to an interim order in September 2021, which was later confirmed in December 2021. The case was challenged in the Securities Appellate Tribunal (SAT), which allowed SEBI to keep the alleged unlawful gains in an escrow account until a final decision was made.

In the final order, SEBI directed Maniar to disgorge the illegal gains along with a 12% annual interest from July 2020 until the date of the deposit. Chaudhri, although not found guilty of insider trading, was penalized for disclosing the unpublished information.

Notably, in mid of last year, Infosys CEO and MD, Salil Parekh, had too settled insider trading charges with SEBI. He paid ₹25 lakhs for violating provisions of insider trading, which too was about Infosys and Vanguard partnership. 

Another notable case of insider trading involving Infosys shares occurred in 2020. In this instance, SEBI found that Pranshu Bhutra, a Senior Corporate Counsel at Infosys, and Venkata Subramaniam VV, a Senior Principal in the Corporate Accounting Group, along with six other entities, were involved in insider trading.

The case revolved around Infosys' quarterly results, which were announced on June 29, 2020. The entities traded in the futures and options (F&O) segment before the announcements and made significant gains.

This case, like the recent one, underscores the importance of adhering to insider trading regulations to maintain market integrity. It underscores the importance of market integrity and the consequences of insider trading.

Infosys CEO Parekh Paid ₹25 Lakh to SEBI as Settlement for Insider Trading Charges

Infosys CEO and MD, Salil Parekh, has settled insider trading charges with the Securities and Exchange Board of India (SEBI). He paid ₹25 lakhs for violating provisions of insider trading. The case arose from SEBI's investigation, which found that Infosys had violated provisions of the Sebi Act and PIT Regulations, 2015, between June 29, 2020, and September 27, 2021.

Insider trading occurs when someone with access to confidential information about a publicly traded company uses that information to make financial gains (or avoid losses) by trading the company's securities. Insiders include company executives (such as CEOs, CFOs, and board members), employees, and anyone else who has access to material non-public information.

On September 27, 2021, SEBI passed an ad Interim Ex Parte Order against two entities for prima facie violation of the SEBI Act and SEBI (Prohibition of Insider Trading) Regulations, 2015 in the case of alleged insider trading in Infosys. SEBI passed the confirmatory order on December 13. 2021.

SEBI reported that it investigated to ascertain if the two entities violated the SEBI regulations from June 29, 2020, to September 27, 2021. In July 2020, Infosys announced a strategic partnership with Vanguard to provide it with a cloud-based record-keeping platform.

SEBI classifies information about partnerships and major deals as Unpublished Price Sensitive Information (UPSI) as it may have a significant impact on the stock price. However, Infosys did not consider the strategic partnership with Vanguard as USPI despite Infosys’ own analysis identifying the strategic importance of the partnership.

Following the investigation, a show-cause notice was issued to Salil Parekh on August 3, 2023. The Infosys CEO filed a settlement application to settle the case without admitting or denying the findings and conclusions of the probe.

Specifically, Infosys had not appropriately classified certain information as Unpublished Price Sensitive Information (UPSI). As part of the settlement, Salil Parekh agreed to pay ₹25 lakh. The payment was made on June 7, 2024, and SEBI confirmed receipt of the amount.

The settlement was recommended by the High Powered Advisory Committee and accepted by SEBI's Panel of Whole Time Members.

Insider trading refers to the practice of buying or selling a company's securities (such as stocks or bonds) based on non-public information about the company. Some insider trading is legal. For instance, insiders can buy or sell their company's stock if they follow specific rules (such as filing disclosures with regulatory authorities). The illegal form involves trading based on material non-public information. It undermines market integrity and fairness.

Regulatory bodies (such as the Securities and Exchange Commission (SEC) in the United States) monitor and enforce rules against illegal insider trading. Penalties can include fines, imprisonment, and civil lawsuits.

Remember that trading based on inside information is unfair to other investors and damages market confidence. It's essential to maintain transparency and uphold ethical standards in financial markets.

SEBI Open To Overseeing Crypto Trade

India's market regulator, Securities and Exchange Board (SEBI) has shown openness to the idea of overseeing cryptocurrency trade, which is a contrast to the Reserve Bank of India's (RBI) stance, reported Reuters citing a document seen by the news agency.

SEBI has suggested that multiple regulators should oversee activities linked to cryptocurrencies that fall under their respective domains, and that a single unified regulator for digital assets should be avoided. This recommendation has been made to a government panel tasked with formulating policy for the finance ministry to consider.

The concerns around cryptocurrency regulation are multifaceted and stem from the unique characteristics of digital currencies. Cryptocurrencies are known for their high price volatility, which can lead to significant financial risk for investors and traders.

SEBI's approach includes monitoring cryptocurrencies that take the form of securities as well as new offerings called Initial Coin Offerings (ICOs). They have also mentioned the possibility of issuing licenses for equity market-related products. On the other hand, the RBI maintains a cautious stance, viewing private digital currencies as a macroeconomic risk and favoring a ban on stablecoins.

This development indicates a significant shift in India's regulatory approach towards cryptocurrencies and could lead to a more structured and formalized framework for crypto trading in the country. The panel plans to firm up its report as early as June 2024.

In 2021, the government prepared a bill that would have banned private cryptocurrencies though it has not been introduced. Last year, when it was president of the G20, India called for a global framework to regulate such assets.

Globally, there are several successful models for cryptocurrency regulation that have been developed by the respective countries. The EU introduced the Markets in Crypto-Assets Regulation (MICA) in May 2023, which is considered the world's first comprehensive cryptocurrency regulation. MICA aims to provide legal clarity and ensure consumer protection, market integrity, and financial stability.

The US has seen developments such as the Financial Innovation and Technology (FIT) for the 21st Century Act and the Blockchain Regulatory Certainty Act. These bills aim to define when a cryptocurrency is a security or a commodity and expand oversight of the industry.

The International Organization of Securities Commissions has laid out 18 recommendations for global rules on managing crypto and digital assets. The World Economic Forum's Digital Assets Regulatory (DAR) initiative analyzes outcomes of different national approaches to digital asset regulation.

Everstone backed SJS Enterprises Gets SEBI Green Signal for its IPO

SJS Enterprises Ltd has received markets regulator SEBI's approval to launch an initial public offering (IPO), through which it plans to raise up to Rs 800 crore.

The Bengaluru-based company had filed its Draft Red Herring Prospectus (DRHP) for the IPO with SEBI in July, obtained its final observation and approval on October 5, as per the SEBI Processing status on Monday, 11 October.

The IPO is entirely an offer for sale (OFS) up to Rs. 688 crores by Evergraph Holdings Pte Ltd and equity shares aggregating up to Rs. 112 crores by K.A Joseph., according to the DRHP.

SJS Enterprises is led by experienced professionals K.A Joseph, Managing Director & Promoter and Sanjay Thapar, its chief executive officer. As per the CRISIL report determined in its DRHP it is one of the leading players in the Indian decorative aesthetics industry in terms of revenue in Fiscal 2020 and as at March 31, 2021. It offers a wide range of aesthetics products and has supplied over 11.5 cr parts with more than 6,000 SKUs in Fiscal 2021 to around 170 customers in approximately 90 cities across 20 countries. The growth of the Indian decorative aesthetics market in value terms is expected to surpass volume growth in demand for two-wheeler, passenger vehicle and consumer durables from fiscal 2021 to fiscal 2026 and is expected to grow at a CAGR of approximately 20.00% to reach approximately Rs 4920 crore by fiscal 2026.

The company designs, develops and manufactures aesthetic products i.e 2D decals and body graphics, 2D appliques and dials, 3D appliques and dials, 3D badges (3D lux), domes, overlays, aluminium badges, IMLs, wheel covers, nameplates, radiator grills, bumper parts, bezels, door handles, instrument panel housings and aftermarket styling products and supplies to some well-known automotive OEMs such as Suzuki, Mahindra & Mahindra, John Deere, Volkswagen, Honda Motorcycle, Bajaj Auto, Royal Enfield; auto component suppliers such as Marelli, Visteon, Mindarika; consumer durable and appliance companies – Whirlpool, Panasonic, Samsung, Eureka Forbes, Godrej, Liebherr; medical device manufacturers - Sensa Core as well as sanitary ware manufacturers such as Geberit.

Despite the initial impact of the COVID-19 pandemic and a slowdown in the automotive and consumer appliance industries, SJS Enterprises reported a 16.40% year-on-year (YoY) jump in its revenue from operations to Rs. 251.62 crore for the year ended 31st March 2021 against Rs. 216.17 crore a year ago, while its profit after tax during the fiscal year 2021 stood at Rs. 47.77 crore versus Rs. 41.29 crore a year ago.

As of March 2021, the consolidated annual production capacity including its subsidiary, Exotech was 23.81 cr products, collectively. In Fiscal 2021, it produced 10.75 cr products, collectively, resulting in capacity utilization rates of 44.07% and 52.88% respectively.

Axis Capital Limited, Edelweiss Financial Services Limited and IIFL Securities Limited are the book running lead managers to the issue. The equity shares of the company will be listed on the BSE and NSE.

For Fintech Firms to Test their Solutions, SEBI Releases Framework for Regulatory Sandbox

Capital markets regulator Sebi on Friday released guidelines for the regulatory sandbox, enabling entities regulated by the watchdog to test their new solutions in a live environment and on a limited set of real customers with necessary safeguards.

The move is aimed at encouraging adoption and usage of financial technologies to further develop and maintain a transparent securities market ecosystem, according to Sebi.

To encourage innovation with the minimal regulatory burden, Sebi said regulatory relaxations from various regulations may be provided after analyzing specific sandbox testing applications.

Under the guidelines, entities regulated by Sebi will be granted certain facilities and flexibilities to experiment with financial technologies solutions in a live environment and on a limited set of real customers for a limited time frame, a circular said.

These features will be fortified with necessary safeguards for investor protection and risk mitigation, Sebi said in a circular.

Coming out with detailed guidelines pertaining to the functioning of the regulatory sandbox, Sebi said all entities registered with the regulator shall be eligible for testing in the regulatory sandbox.

"The entity may either on its own or engage the services of a FinTech firm. In either scenario, the registered market participant shall be treated as the principal applicant," Sebi said.

On regulatory exemptions, the regulator said it shall "consider exemptions/ relaxations, if any, which could be either in the form of a comprehensive exemption from certain regulatory requirements or selective exemptions on a case-by-case basis, depending on the FinTech solution to be tested."

Within the overarching principles of market integrity and investor protection, no exemptions would be granted from the extant investor protection framework, Know-Your-Customer (KYC) and Anti-Money Laundering (AML) rules.

Regrading eligibility criteria of the project, Sebi said the solution should be innovative enough to add significant value to the existing offering in the Indian securities market and should have a genuine need for live testing the solution on real customers.

In addition, before applying for testing in sandbox, limited offline testing of the solution should have been carried out by the applicant, the solution should offer direct benefits to users and there should be no risks to the financial system.

Besides, the eligibility criteria also include the test readiness of the solution and the applicant should demonstrate the intention and ability to deploy the solution on a broader scale.

The applicant, upon ensuring that the eligibility criteria are satisfied, is required to submit the application form in the format prescribed by Sebi. It also gave a detailed application, approval and evaluation process.

Sebi has also come out with a framework on submission of test-related information and reports, obligations of the applicants towards the user and extension or exit from the sandbox.

The regulator has also listed out specific conditions under which the approval to participate in the sandbox may be revoked.

In addition to revocation of approval, appropriate actions may be initiated against the applicant if it facilitates undermining of KYC principles, violation of user's or investor's privacy, promotion of the sale of fraudulent or illegal products, services, promotion of mis-selling of products or services, violation of AML norms, creation of risk to financial stability and theft of intellectual property.

SEBI Approves Norms for Startups to Shift to Main Stock Exchange Board after 1 year

Mumbai, Aug 21 (PTI) To help startups move from the Innovators Growth Platform of stock exchanges to the main board, Sebi on Wednesday announced a new set of norms to allow them to shift after one year to regular trading and expanding their shareholder base to at least 200.

The company would also need to have a profitablity/ networth track record of three years or at least 75 per cent of its shareholding should be with qualified institutional investors.

After its board meeting, Sebi said the minimum promoter contribution would need to be 20 per cent, which would be locked in for three years. The period of earlier six-month lock-in served at the time of listing on the startup platform would be deduced from the overall 3-year lock-in requirement.

The regulator is of the view that if companies listed on the IGP (Innovators Growth Platform) are allowed to be traded in the regular category of main board without following a stringent criteria, it may be misused to bypass the rigorous route of coming up with a main board IPO, officials said.

Any company desirous of getting listed on the main board of stock exchange for regular trading of their shares need to follow stringent disclosure and eligibility norms and launch an initial public offer (IPO). But, the rules are much more relaxed for the startups looking to list their shares on the new IGP, where trading activities are relatively restricted.

A detailed set of norms for listing on IGP were finalised by Sebi's board in December 2018 and the regulator was asked at that time to decide on the requirements of migration of trading of shares from IGP to the main board in consultation with stock exchanges and other stakeholders.

Sebi discussed the draft norms with its own Primary Market Advisory Committee as well as the two leading bourses BSE and NSE, pursuant to which a discussion paper was issued for public comments in May this year.

After taking into account comments received from merchant bankers, industry bodies, stock exchanges and others, Sebi finalised a detailed set of draft norms which was presented for its board's approval on Wednesday.

As per the approved norms, a company would need to be listed on the IGP for at least one year for migration and have at least 200 shareholders at the time of migration.

Besides, the company, or any of its promoters and directors should not have been barred from accessing the capital market. They should also not have been classified as wilful defaulters or fugitive economic offenders. Also, none of the promoters or directors should be associated with a company barred from the capital market.

Some suggestions were received that the minimum number of shareholders for migration should be reduced to 50 or 100, as startups do not have a large investor base and a lower threshold in the initial phase would help the platform attract more companies and investors.

However, Sebi was of the view that the threshold should remain at 200 shareholders to ensure liquidity.

The new norms would also require the company to have net tangible assets of at least Rs 3 crore, calculated on a consolidated basis, in each of the preceding three years, of which maximum 50 per cent can be held in monetary assets.

For migration, the company also needs to have an average consolidated operating profit of at least Rs 15 crore during the preceding three years, with an operating profit having been recorded in all the three years. The net worth threshold has been proposed at Rs 1 crore for each of the three preceding years.

In case the company has changed its name within the last one year, at least 50 per cent of its consolidated revenue for the preceding one full year should have been earned from the activity indicated by the new name.

A company that is not in compliance with these financial thresholds would need to have 75 per cent of its capital held by investors classified as Qualified Institutional Buyers (QIBs).

A restatement of accounts would be required for companies getting listed for the first time by applying uniform accounting policies, but it would not be applicable for migration of the IGP-listed companies.

During the public consultations, there were demands for relaxing these norms on the ground that startups were early growth stage companies with limited track record and they might opt to go for private equity and wait to meet for the eligibility criteria for listing on the main board at a later stage.

However, Sebi has opined that trading on regular main board entails trading by retail investors, in addition to other investors, while the eligibility criteria also needs to be stringent to ensure a certain degree of credibility.

Sebi has also proposed that the promoters' minimum contribution should be 20 per cent of the total capital and it should be locked in for at least 3 years from the date of grant of approval for trading on main board.

In case of a shortfall, a maximum of 10 per cent can be contributed by alternative investment funds, foreign venture capital investors, scheduled commercial banks, public financial institutions or insurance companies without being identified as promoters, but subject to similar lock-in conditions.

Any excess promoter holding above 20 per cent would be locked in for one year.

The lock-in condition would not apply to companies that have been listed on the IGP for three years or more.

Sebi had received suggestions to relax these norms too, but the regulator is of the view that the minimum promoter contribution and lock-in provisions are in line with those prescribed for the main board IPOs. PTI SM BJ

SEBI Planning New Norm for Startups to Shift to Main Exchange Board post 1 Yr

New Delhi, Aug 8 (PTI) To help startups to move from the Innovators Growth Platform of stock exchanges to the main board for regular trading, regulator Sebi is planning a new set of norms to allow them to shift after one year of trading and expanding their shareholder base to at least 200.

However, the regulator is of the view that if companies listed on the IGP are allowed to be traded in the regular category of main board without following a stringent criteria, it may be misused to bypass the rigorous route of coming up with a main board IPO, officials said.

Any company desirous of getting listed on the main board of stock exchange for regular trading of their shares need to follow stringent disclosure and eligibility norms and launch an initial public offer (IPO). But, the rules are much more relaxed for the startups looking to list their shares on the new IGP, where trading activities are relatively restricted.

A detailed set of norms were finalised by Sebi's board in December 2018 and the regulator was asked at that time to decide on the requirements of migration of trading of shares from IGP to the main board in consultation with stock exchanges and other stakeholders.

Officials said Sebi discussed these norms with its own Primary Market Advisory Committee as well as the two leading bourses BSE and NSE, pursuant to which a discussion paper was issued for public comments in May this year.

After taking into account comments received from merchant bankers, industry bodies, stock exchanges and others, Sebi has now finalised a detailed set of draft norms which would be presented for its board's approval later this month.

As per the proposal, a company would need to be listed on the IGP for at least one year for migration and have at least 200 shareholders at the time of migration.

Besides, the company, or any of its promoters and directors should not have been barred from accessing the capital market. They should also not have been classified as wilful defaulters or fugitive economic offenders. Also, none of the promoters or directors should be associated with a company barred from the capital market.

Officials said some suggestions were received that the minimum number of shareholders for migration should be reduced to 50 or 100, as startups do not have a large investor base and a lower threshold in the initial phase would help the platform attract more companies and investors.

However, Sebi is of the view that the threshold should remain at 200 shareholders to ensure liquidity.

The proposed norms also require the company to have net tangible assets of at least Rs 3 crore, calculated on a consolidated basis, in each of the preceding three years, of which maximum 50 per cent can be held in monetary assets.

For migration, the company also needs to have an average consolidated operating profit of at least Rs 15 crore during the preceding three years, with an operating profit having been recorded in all the three years. The net worth threshold has been proposed at Rs 1 crore for each of the three preceding years.

In case the company has changed its name within the last one year, at least 50 per cent of its consolidated revenue for the preceding one full year should have been earned from the activity indicated by the new name.

A company in non-compliance of these financial thresholds would need to have 75 per cent of its capital held by investors classified as Qualified Institutional Buyers (QIBs).

A restatement of accounts would be required for companies getting listed for the first time by applying uniform accounting policies, but it would not be applicable for migration of the IGP-listed companies.

During the public consultation, there were demands for relaxing these norms on the ground that startups were early growth stage companies with limited track record and they might opt to go for private equity and wait to meet for the eligibility criteria for listing on the main board at a later stage.

However, Sebi has opined that trading on regular main board entails trading by retail investors, in addition to other investors, while the eligibility criteria also needs to be stringent to ensure a certain degree of credibility.

Sebi has also proposed that the promoters' minimum contribution should be 20 per cent of the total capital and it should be locked in for at least 3 years from the date of grant of approval for trading on main board.

In case of a shortfall, a maximum of 10 per cent can be contributed by alternative investment funds, foreign venture capital investors, scheduled commercial banks, public financial institutions or insurance companies without being identified as promoters, but subject to similar lock-in conditions.

Any excess promoter holding above 20 per cent would be locked in for one year.

The lock-in condition would not apply to companies that have been listed on the IGP for three years or more.

Sebi had received suggestions to relax these norms too, but the regulator is of the view that the minimum promoter contribution and lock-in provisions are in line with those prescribed for the main board IPOs. PTI BJ