Regulatory Alerts2023-03-23
Master Circular on Surveillance of Securities Market
The Securities and Exchange Board of India (SEBI) has consolidated its previous directives into a Master Circular on Surveillance of Securities Market to streamline regulatory compliance for stock exchanges, depositories, listed companies, and market intermediaries. The document mandates that companies achieve 100% dematerialized promoter shareholding to trade in the normal segment, while requiring intermediaries to enforce strict internal controls and monitor employee communications to prevent the spread of unverified market rumors. Additionally, it updates insider trading disclosure protocols under the PIT Regulations, 2015, by introducing system-driven reporting for designated persons, automating trading window closures through PAN freezing, and establishing mandatory violation reporting and penalty remittance procedures to the Investor Protection and Education Fund.