Sebi mulls over reforms in disclosures
Listed firms submit memorandums on many disclosures to stock exchanges
New Delhi: A lot of disclosures made by companies to stock exchanges probably leaves a lot for imagination, a Sebi official said on Thursday. At a conference in the national capital, Rajesh Dangeti, Chief General Manager of Corporation Finance Department (CFD) at the Securities and Exchange Board of India (Sebi), also emphasised the need to ensure that information is not only given out by companies frequently, but also fairly and in a manner which is easily understood by the investors.
He also wondered whether there is a scope for reducing the time frame for certain disclosures that are currently made on a quarterly basis. Under Sebi norms, listed entities are required to make various disclosures in a timely manner in order to ensure the interests of shareholders, especially minority shareholders, are protected. “It’s all about how you ensure that information is given not only frequently but fairly and in a manner which is easily understood by the investors... you get to see a lot of disclosures where probably it leaves a lot for imagination.
