The Securities and Exchange Board of India (SEBI) has constituted the Takeover Regulations Advisory Committee under the Chiarmanship of Mr. C. Achutan with the mandate to examine and review the Takeover Regulations of 1997 and to suggest the suitable amendments as deemed fit. The Committee has submitted its report on July 19, 2010 and structured its report into three parts
A Sebi panel has suggested tax parity be introduced for shareholders who tender their shares in open offer and those who sell through the stock market. According to the Sebi Takeover Advisory Committee, the open offer only provides an opportunity to investors to exit the company and hence need not be treated as off-market transaction.
As part of efforts to attract more retail investors to the stock market, regulator SEBI is considering making applications forms simpler and shorter for public offers, including IPOs. Concerned over the lukewarm and ever-falling retail response to the primary market, SEBI is mulling over ways to win over small investors in this segment and one of the steps under consideration is a simpler investment process.
The wait is now over for the US investors who wants to bet on the Indian stock markets, with the Chicago Mercantile Exchange starting the trade in Nifty Futures from Monday. The Chicago Mercantile Exchange (CME) is introducing two new contracts — E-mini and E-micro S&P CNX Nifty (Nifty 50) Futures — designed to access the Indian market opportunities.
Takeovers are set to get costlier with a Sebi panel favouring making it mandatory for the acquirer to make an offer for up to 100 per cent stake in any listed company.As of now, an open offer for a minimum of 20 per cent in the target company is required to be made by any entity that has purchased 15 per cent equity, either from the promoters or from the open market.
SEBI has revised exposure margin requirements for exchange traded equity derivatives. The regulator, based on market feed back, has decided that the exposure margin shall be in excess of five per cent or 1.5 times, which ever is higher. The earlier exposure margin requirement was 10 per cent or 1.5 times the standard deviation of daily logarithmic returns of the stock price. This circular shall come into force from July 15.
For a new listing, at least 25% of each class of equity shares or debentures convertible into equity shares issued by the entity will be offered and allotted to the public. However, for entities with post-issue capital, calculated at offer price, of more than INR 4,000 crores (INR40 billion), this limit has been currently fixed at 10%. Also, the increased threshold of 25% will not currently apply to an entity whose draft offer document is pending with the SEBI on or before the commencement of the Securities Contracts (Regulation) (Amendment) Rules 2010, if it satisfies the conditions prescribed in rule 19(2)(b) of SCRR for applicability of the 10% threshold.
Can there be any reasonable justification for more exemption to females. Is it just gender biased taxation. Suppose a woman is working as a clerk and earning salary of Rs 190000, similarly a man is working in the same office in the same designation as the woman is and earning same salary of Rs 190000, then in such case man will be paying tax of Rs 3000 and woman will be paying no tax. Is it equality before law? Isn’t it violation of article 14 of the constitution?
The only issue arising in the appeal was whether while computing the income from capital gains, the fair market value of the property on the date of sale could be adopted as against the sale consideration received by the assessee. In the facts of the instant case, the assessee had sold the property for a total consideration of Rs. 15.25 lakhs. The said value of consideration was accepted by the registering authorities and was not disturbed. The provisions of section 50C were neither applicable nor applied by the Assessing Officer.
The changes in the Securities Contracts (Regulation) Rules will not only create a huge supply of fresh papers in the current fiscal but will also impact the pricing of the large public issues such as Coal India and BSNL. The amendments will also bring the Indian promoters of insurance joint ventures legally at par with their foreign counterpart,
