SEBI Notifies Framework of ‘Financial Disincentives for Surveillance Related Lapses’ at MII
- News|Blog|Company Law|
- < 1 minute
- By Taxmann
- |
- Last Updated on 7 June, 2024
Circular No. SEBI/HO/ISD/ISD-PoD-1/P/CIR/2024/73, Dated 06.06.2024
To maintain effective surveillance and investor trust, the SEBI has notified a framework for Surveillance Related Lapses at Market Infrastructure Institutions (MIIs). This shall apply to surveillance-related lapses emanating from non-adherence to the requisite surveillance activities/decisions.
Further, the amount of financial disincentives as per the framework of financial disincentives for Surveillance Related Lapses (FDSRL) at MIIs, shall be determined based on the total annual revenue of the MII, as an indicator of the size and impact of the MII on the market ecosystem, during the previous Financial Year as per the latest audited consolidated annual financial statement and the number of instances of Surveillance Related Lapses during the Financial Year.
This circular shall come into effect on July 1, 2024, and the framework of FDSRL at MIIs shall apply for any surveillance-related lapse occurring on or after that date.
Click Here To Read The Full Circular
Disclaimer: The content/information published on the website is only for general information of the user and shall not be construed as legal advice. While the Taxmann has exercised reasonable efforts to ensure the veracity of information/content published, Taxmann shall be under no liability in any manner whatsoever for incorrect information, if any.
Taxmann Publications has a dedicated in-house Research & Editorial Team. This team consists of a team of Chartered Accountants, Company Secretaries, and Lawyers. This team works under the guidance and supervision of editor-in-chief Mr Rakesh Bhargava.
The Research and Editorial Team is responsible for developing reliable and accurate content for the readers. The team follows the six-sigma approach to achieve the benchmark of zero error in its publications and research platforms. The team ensures that the following publication guidelines are thoroughly followed while developing the content:
- The statutory material is obtained only from the authorized and reliable sources
- All the latest developments in the judicial and legislative fields are covered
- Prepare the analytical write-ups on current, controversial, and important issues to help the readers to understand the concept and its implications
- Every content published by Taxmann is complete, accurate and lucid
- All evidence-based statements are supported with proper reference to Section, Circular No., Notification No. or citations
- The golden rules of grammar, style and consistency are thoroughly followed
- Font and size that’s easy to read and remain consistent across all imprint and digital publications are applied