BUSINESS
NSE Scam: Did the safeguards fail or were they weak in the first place?
Questions can be raised as to whether the public interest directors did their job. At the same time, systemic issues in the law governing them and their lack of effective power also need to be examined.
BUSINESS
SEBI ruling on referral fee for brokers is investor unfriendly
Brokers can earn referral fees from clients for recommending investment advisors. This is questionable in terms of good market practices and what is beneficial to the investor
BUSINESS
Corporate governance: Sebi’s NSE order a worrying sign, but the rot runs deep
Regulators, investors and boards should introspect on how to place more safeguards and supervise management effectively, to avoid such damaging bizarre episodes
BUSINESS
LIC IPO presents a paradoxical situation, raises new issues of corporate governance
If the LIC is privatised even to an insignificant extent, it may become more competitive and profitable on one hand, but that very quality may result in it losing some of its edge of safety
BUSINESS
IPO Financing | Its colourful past, and RBI’s tightening grip
Why should IPOs be a craze at all? If there is one, isn’t it likely that yet again there is a bubble which could leave investors, and their financiers, at a loss?
WORLD
Climate reporting has its challenges, but its long-term benefits outweigh the short-term pinpricks
Unlike corporate governance reporting, a checkbox-reporting attitude is not acceptable while assessing a company’s impact on the environment. If the reporting is not regular, detailed, and specific, stakeholders and even the government will make their own assessment, perhaps assuming the worst
BUSINESS
Sebi’s proposals will usher in far-reaching changes
Sebi has taken some major decisions, assuaged demands, and tweaked some areas. But as of now, we only know the broad specifics. We’ll have to wait for the fine print
BUSINESS
Independent Directors | We need less confusion, more relaxation of norms
The lawmakers keep tinkering with the subject of independent directors, adding a requirement once, giving a relaxation next, and ending up creating confusion and unanswered questions
BUSINESS
Shareholder activism is on the rise
Shareholders are increasingly vocal and active, and this is a result of legal reforms in corporate governance and higher institutional shareholding. But it shouldn’t be forgotten that companies are run for shareholder value, and corporate governance is a means, not the end
BUSINESS
Promoter to person-in-control — Sebi’s old wine in a new bottle
Sebi’s decision to re-formulate the concept of ‘promoters’ is more than renaming but less than a total re-haul
BUSINESS
With accredited investors, Sebi opens a new channel for raising finance
Recognition of Accredited Investors will open up new avenues for raising finance and investments, but the half-hearted approach and complex regulations can be a dampener
BUSINESS
30 Years of Economic Reforms | Forced to change for the good
The economic reforms initiated in 1991 were largely out of compulsion to avoid the government defaulting on its debts. Yet, the fact that India chose to massively reform the regulations instead of some other alternative has had lasting positive effects
BUSINESS
To be or not to be a promoter
Declassification of a person from promoter to non-promoter is a lengthy, difficult and complicated affair. It is almost as if being a promoter is a one-way street, i.e., till death do you part
BUSINESS
SEBI order on Franklin Templeton has not done justice to investors
If the law and SEBI’s actions are found wanting, it is bad for the industry as well
BUSINESS
Will Sebi’s proposal on independent directors improve corporate governance?
Independent directors are seen as a pillar that balances interests of all stakeholders with a primary emphasis on that of minority shareholders vis-à-vis promoters
BUSINESS
Securities Markets Code | Rewrite from scratch existing laws to form new legislation
The big question is whether the new securities market code will merely combine the multifarious provisions into one place with minor fine-tuning, or whether there will be a thorough revamp to reflect current and future challenges
BUSINESS
SEBI’s stock option manipulation settlement scheme is good, but has many glitches
The implementation, though commendably online, is hardly seamless. There are several hoops that parties have to jump through. Interestingly, SEBI has insisted that parties should also file with the regulator a full set of physical documents
BUSINESS
SEBI is catching up with front-runners
SEBI’s recent move to nab alleged front-runners is commendable, considering the scant regulatory base of just one clumsily drafted clause against front-running. The gaps against front-running are partly filled by a Supreme Court decision and a SEBI circular
BUSINESS
Can Harshad Mehta-type scam happen again?
SEBI has often displayed energetic initiative and used some sophisticated means. Yet, one often gets the impression that it is the amateurs who have got caught—the sophisticated ones evade the net
