What are the criteria for suspension of the trading in the shares of the listed entities? Describe.
CS Professional · Secretarial Audit, Compliance Management and Due Diligence · PYQS · December 2019
What are the criteria for suspension of the trading in the shares of the listed entities? Describe.
Answer & Explanation:
If a listed entity is non-compliant with the provisions of the Listing Regulations as per the criteria specified below, the concerned recognized stock exchange(s) shall suspend trading in the shares of such listed entity by following procedure prescribed in the SEBI Circular No. SEBI/HO/CFD/CMD/CIR/P/2018/77 dated May 3, 2018. Criteria for suspension of the trading in the shares of the listed entities are as under: a) Failure to comply with regulation 17(1) with respect to board composition including appointment of woman director for two consecutive quarters; b) Failure to comply with regulation 18(1) with respect to constitution of audit committee for two consecutive quarters; c) Failure to comply with regulation 27(2) with respect to submission of corporate governance compliance report for two consecutive quarters; d) Failure to comply with regulation 31 with respect to submission of shareholding pattern for two consecutive quarters; e) Failure to comply with regulation 33 with respect to submission of financial results for two consecutive quarters; f) Failure to comply with regulation 34 with respect to submission of annual report for two consecutive financial years; g) Failure to submit information on the reconciliation of shares and capital audit report for two consecutive quarters; h) Receipt of the notice of suspension of trading of that entity by any other recognized stock exchange on any or all of the above grounds.
Topics: Compliance Management
Related Questions in this Topic
- Compliance risk monitoring makes it possible for the business to test if risk mitigation activities are working properly...
- Compliance risk monitoring makes it possible for the business to test if risk mitigation activities are working properly...
- A Company Secretary P of ABC Ltd. is of the view that the companies that practice positive ethics and effective complian...
- Two Boeing 549 FLY airplanes crashed due to flaws in the aircraft's design and software. Investigations revealed that Bo...
- In a review meeting of XYZ Ltd, a company incorporated under the Companies Act, 2013, the Company Secretary was asked by...