Explain the guidelines issued by SEBI, for returning of the draft offer document and its resubmission relating to issue of Capital and Disclosure Requirements.

In order to ensure completeness of the offer document for investors and provide greater clarity & consistency in the disclosures and for timely processing, SEBI has issued 'Guidelines for returning of draft offer document and its resubmission'. Broad guidelines for returning of the draft offer document: The draft offer document / draft letter of offer filed with SEBI for public issue / rights issue of securities shall be scrutinized based on the broad guidelines specified as under and accordingly, the draft offer document shall be returned to the Issuer and the Lead Manager(s) for resubmission in accordance with the following guidelines, if disclosures made in the draft offer document do not satisfy one or more of the following requirements: Draft offer document must be drafted in simple language with visual representation of data, so as to ensure ease of understanding of its contents. The information in the draft offer document is presented in a clear, concise and intelligible manner. The draft offer document avoids complex presentations, vague, ambiguous and imprecise explanations, complex information, repetition of disclosures and inconsistency. The risk factors are appropriately worded in simple, clear and unambiguous language to bring out clearly the risk to the investor, without undermining the same. Resubmission of Draft Offer Document: While there shall be no requirement for payment of any fees on account of resubmission of draft offer document, the requirement for paying applicable fees for the changes, if any, in terms of changes specified in Schedule XVI of the ICDR Regulations for the updated offer document shall continue to apply as is applicable to issuer for updation in offer document. There shall be no refund of the filing fees on account of non-submission of draft offer document by the issuer after return. The issuer, within two days of resubmission of draft offer document with the SEBI, shall make a public announcement in the mode and manner as prescribed under ICDR Regulations, as applicable, and the issuer shall also include a disclosure that it is a resubmitted document. Issuer shall make written intimation to its sectoral regulator, if any, informing about the return and resubmission of the draft offer document, as applicable.