Mumbai: In a bid to provide relief to companies amid the coronavirus pandemic, security markets regulator SEBI has relaxed compliance norms for listed companies and allowed them to file their fourth quarter and annual financial results by June 30. Also Read - SEBI Will Use AI Tools to Enhance Social Media Surveillance, Curb Market Manipulations
In general, companies have to report their earnings within one month of a quarter ending and if results get delayed, the companies have to inform the exchanges. Also Read - SEBI Modifies Rating Withdrawal Norms For CRAs
In a statement on Thursday, the Securities and Exchanges Board of India (SEBI) said: “It has been declared a pandemic by the World Health Organization (WHO). Developments arising due to the spread of the virus have warranted the need for temporary relaxations in compliance requirements for listed entities.”
The regulator also extended the date of filing quarterly corporate governance report by one month and for releasing quarterly shareholding pattern by three weeks.
Corporate governance report for January-March quarter was originally due by April 15, and the deadline has been extended to May 15. The deadline for releasing the shareholding pattern was April 21, which has been extended to May 15.
Market experts have welcomed the steps and have said that these are proactive decisions by the regulator in the wake of the limit on movement and growing concerns of a deepening crisis.
Regulators have sprung into action to pacify the markets and companies. The Reserve Bank of India (RBI) on Wednesday announced it would purchase government securities worth Rs 10,000 crore through open market operations in a bid to increase liquidity and enhance confidence in the market amid the coronavirus crisis.