Credit Rating of Securities – Jindal Power Ltd. Vs ICRA Ltd

Jindal Power Ltd. v. ICRA Ltd. (Delhi High Court) In order to protect the interest of investors and help them make an informed decision, SEBI has made credit rating of securities offered by Indian companies by way of public or rights issues to be mandatory.  The rating signifies the ability and willingness of the issuer company for timely payment of interest and principal on a security. Ratings are provided to the issuer company by a Credit Rating Agency (CRA) on the basis of comprehensive evaluation of the strengths and weaknesses of the company fundamentals. The CRAs are required to publis...