Sebi mulls relaxing some disclosure norms for listed firms

Sebi mulls relaxing some disclosure norms for listed firms

India's markets regulator is considering easing certain disclosure norms for listed companies, ranging from related party transactions to large shareholders.

The Securities and Exchange Board of India (SEBI) is also evaluating giving listed companies more time to publicly disclose litigations or disputes that they are involved in, it said in a consultation paper published on Wednesday.

Over the last year, SEBI has presented multiple consultation papers, usually seen as a first step towards a change in policy, as the regulator looks to streamline norms for listed companies in India's equity capital markets.

For related party transactions, SEBI proposed that public companies be exempted from seeking audit committee approvals for directors and executives' remuneration, or disclosing their compensation on a half-yearly basis.

Among other recommendations, the regulator proposed that companies, once listed, seek shareholder approval for compensation or profit-sharing agreements inked when they were privately-held.

It also sought that listed companies disclose information such as memorandum of association and articles of association on their website.

SEBI has invited comments from market participants on these proposals by July 17.