Skip to main content

Sebi seeks PSU compliance on women directors, IDs

By
The Securities and Exchange Board of India ( Sebi) has written to the cabinet secretary that women directors and independent directors (IDs) be appointed for public sector undertakings ( PSUs), in compliance with the updated corporate governance norms. “ Sebi has taken up the matter with the cabinet secretary through its letter dated June 3,” stated the regulator in a board note.
As of April, almost 90 per cent of listed PSUs had failed to meet the requirement of appointing an equivalent number of IDs as the number of functional directors on their boards, the criteria set by the markets regulator.
There are 68 governmentowned companies on the National Stock Exchange (NSE). Of these, says primary market advisory firm Prime Database, 31 did not have a woman director. Private companies are far better, with only 149 of the 1,672 non- PSU companies on the NSE being non- compliant, according to data as of March 31.
“The government shouldn’t have needed this prompting from the regulator; it should have been done already as a pro- active measure,” said Amit Tandon, head of Institutional Investor Advisory Services.
Recently, in the Sebi board meeting, the regulator had decided that for fast- track fund raising through a Follow- on Public Offer and rights issues, the market capitalisation requirement for private and PSU firms would be the same. “ Sebi should be seen to be treating all kinds of issuers/ promoters uniformly when dealing with an issue,” said Sebi in a board note.
Business Standard, New Delhi, 9th July 2015

Comments

Post a Comment

Popular posts from this blog

RBI deputy governor cautions fintech platform lenders on privacy concerns during loan recovery

By
  India's digital lending infrastructure has made the loan sanctioning system online. Yet, loan recovery still needs a “feet on the street” approach, Swaminathan J, deputy governor of the Reserve Bank of India, said at a media event on Tuesday, September 2, according to news agency ANI.According to the ANI report, the deputy governor flagged that fintech operators in the digital lending segment are giving out loans to customers with poor credit profiles and later using aggressive recovery tactics.“While loan sanctioning and disbursement have become increasingly digital, effective collection and recovery still require a 'feet on the street' and empathetic approach. Many fintech platforms operate on a business model that involves extending small-value loans to customers often with poor credit profiles,” Swaminathan J said.   Fintech platforms' business models The central bank deputy governor highlighted that many fintech platforms' business models involve providing sm
Post a Comment
Read more

Credit card spending growth declines on RBI gaze, stress build-up

By
  Credit card spends have further slowed down to 16.6 per cent in the current financial year (FY25), following the Reserve Bank of India’s tightening of unsecured lending norms and rising delinquencies, and increased stress in the portfolio.Typically, during the festival season (September–December), credit card spends peak as several credit card-issuing banks offer discounts and cashbacks on e-commerce and other platforms. This is a reversal of trend in the past three financial years stretching to FY21 due to RBI’s restrictions.In the previous financial year (FY24), credit card spends rose by 27.8 per cent, but were low compared to FY23 which surged by 47.5 per cent. In FY22, the spending increased 54.1 per cent, according to data compiled by Macquarie Research.ICICI Bank recorded 4.4 per cent gross credit losses in its FY24 credit card portfolio as against 3.2 per cent year-on-year. SBI Cards’ credit losses in the segment stood at 7.4 per cent in FY24 and 6.2 per cent in FY23, the rep
Post a Comment
Read more

India can't rely on wealthy to drive growth: Ex-RBI Dy Guv Viral Acharya

By
  India can’t rely on wealthy individuals to drive growth and expect the overall economy to improve, Viral Acharya, former deputy governor of the Reserve Bank of India (RBI) said on Monday.Acharya, who is the C V Starr Professor of Economics in the Department of Finance at New York University’s Stern School of Business (NYU-Stern), said after the Covid-19 pandemic, rural consumption and investments have weakened.We can’t be pumping our growth through the rich and expect that the economy as a whole will do better,” he said while speaking at an event organised by Elara Capital here.f there has to be a trickle-down, it should have actually happened by now,” Acharya said, adding that when the rich keep getting wealthier and wealthier, they have a savings problem.   “The bank account keeps getting bigger, hence they look for financial assets to invest in. India is closed, so our money can't go outside India that easily. So, it has to chase the limited financial assets in the country and
Post a Comment
Read more