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The capital market regulator has told credit rating agencies — some of which were blindsided by the aura and size of IL&FS — to review borrowers as soon as their bond prices crash, and even place such securities on ‘rating watch’ if prices continue to languish.  Baffled by the rapid downgrades of IL&FS debt paper — from triple-A to ‘D’ (or, default) in less than two months — Sebi wants rating agencies to take cues from the market in evaluating bond issuers. The strategy to track widening bond spreads — the difference between a corporate bond yield and that of a government bond of similar maturity — was emphasised by Sebi officials at a recent meeting with large rating agencies, two persons familiar with the development told ET.  The move assumes significance with the financial market currently displaying a sudden risk aversion to debt securities of businesses like non-banking finance companies whose importance and valuation had risen in the last two years as banks ...

Market regulator Securities and exchanges board of India (Sebi) is examining Friday’s sharp moves in shares of Dewan Housing Finance Corp., Yes Bank Ltd and other lenders for possible trading irregularities, people with knowledge of the matter said.  Sebi is looking into whether brokers and investors colluded during the sharp selloff and subsequent recovery in financial shares, the people said, asking not to be identified due to the sensitivity of the matter.  The rout, which deepened Monday, has erased about $13 billion from the value of a gauge of financials. The regulator is examining data from India’s two stock exchanges on which parties were buying and selling financial shares, and on the sequencing of the trades, the people said.  The market regulator may launch a full investigation if it uncovers evidence of wrongdoing, the people added. A Sebi spokesman didn’t respond to a message and phone calls seeking comment.  The move comes after Indian authorities a...

The government Monday extended by a fortnight till October 15 the deadline for filing Income Tax Return (ITR) and audit report for financial year 2017-18.  The Central Board of Direct Taxes (CBDT) had received representations from stakeholders seeking extension of the last date for filing of returns by taxpayers whose accounts have to be audited. The CBDT extends the due date' for filing of ITRs as well as reports of Audit (which were required to be filed by the said specified date) from September 30, 2018 to October 15, 2018 in respect of the said categories of taxpayers, the CBDT said in a statement.  However, there shall be no extension of the due date for the purpose of section 234A (Explanation 1) of the I-T Act, 1961 pertaining to interest for defaults in furnishing return, and the assessee shall remain liable for payment of interest as per provisions of section 234A of the Act, it added. The Business Standard, 25th September 2018