Around 32 companies on the list are liable to pay a fine of Rs 4,50,000 each. The fine shall be credited to the “Investor Protection Fund” of NSE as per the Sebi circular.
The National Stock Exchange (NSE) has penalised 250 companies for non-compliance with the SEBI Listing Obligation and Disclosure Requirement Regulations (LODR) for the quarter ended March 2019.
NSE said that after monitoring compliance of listing regulations of all its listed entities, it has decided to impose fines and issue notices to more than 250 non-compliant companies.
These include companies such as Adani Ports, Jet Airways, Indraprastha Gas, Bharat Petroleum, InterGlobe Aviation, Jindal Steel, Indian Oil, Hindustan Petroleum among others.
Around 32 companies on the list are liable to pay a fine of Rs 4.5 lakh each. The fine shall be credited to the “Investor Protection Fund” of NSE as per the SEBI circular.
The notice by NSE was in accordance with a SEBI circular dated May 3, 2018 which specified a uniform approach i.e. standard operating procedure (SOP) in the matter of levying of fines for non-compliance with certain provisions of Sebi (Listing obligations Disclosure Requirement) Regulations, 2015 (‘listing regulations’).
As per the circular, the exchanges can levy per day fines and freeze the holdings of the promoter and promoter group if non-compliant listed entities fail to comply with the requirements of listing regulations and/or pay fine levied within the stipulated period.In case the non-compliance continues for two consecutive quarters, the exchange can move the securities of these companies to ‘Trade to Trade’ segment -- where shares can be traded only on delivery basis and no intraday trades are allowed -- and subsequently even suspend trading of these securities.Subscribe to Moneycontrol Pro and gain access to curated markets data, exclusive trading recommendations, independent equity analysis, actionable investment ideas, nuanced takes on macro, corporate and policy actions, practical insights from market gurus and much more.