{"id":17513,"date":"2020-12-05T15:14:41","date_gmt":"2020-12-05T09:44:41","guid":{"rendered":"https:\/\/swaritadvisors.com\/learning\/?p=17513"},"modified":"2021-03-19T17:59:09","modified_gmt":"2021-03-19T12:29:09","slug":"sebi-decides-to-relax-timelines-for-compliance-requirements","status":"publish","type":"post","link":"https:\/\/swaritadvisors.com\/learning\/sebi-decides-to-relax-timelines-for-compliance-requirements\/","title":{"rendered":"SEBI Decides to Relax Timelines for Compliance Requirements"},"content":{"rendered":"\n<p class=\"has-drop-cap\">Recently, SEBI (Securities Exchange Board of India) by way of Circular No CIR\/ P\/ 2020\/<strong> 235<\/strong>, issued on <strong>01.12.2020<\/strong>, has <strong>notified<\/strong> about the \u201cRelaxation Provided in Timelines for Compliance with the Regulatory Requirements due to <a class=\"text-primary\" href=\"https:\/\/swaritadvisors.com\/learning\/coronavirus-outbreak-impact-on-the-indian-economy\/\">COVID 19 pandemic<\/a>\u201d.<\/p>\n\n\n\n<p>Further, such a Circular was passed in <strong>consequence<\/strong> of the <strong>representations<\/strong> made by <strong>Clearing\nCorporations<\/strong> or <strong>Stock Exchanges <\/strong>and\n<strong>Depositories<\/strong>. <\/p>\n\n\n\n<p>In this blog, we will discuss the new timelines set\nby SEBI for meeting compliance requirements.<\/p>\n\n\n\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_65 counter-hierarchy ez-toc-counter ez-toc-light-blue ez-toc-container-direction\">\n<p class=\"ez-toc-title\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a3a8b32eaf02\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a3a8b32eaf02\"  aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/swaritadvisors.com\/learning\/sebi-decides-to-relax-timelines-for-compliance-requirements\/#Reasons_for_Relaxing_Timelines_for_Compliance_Requirements\" title=\"Reasons for Relaxing Timelines for Compliance Requirements\">Reasons for Relaxing Timelines for Compliance Requirements<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/swaritadvisors.com\/learning\/sebi-decides-to-relax-timelines-for-compliance-requirements\/#Governing_Law_for_Circular_No_CIRP2020235\" title=\"Governing Law for Circular No CIR\/P\/2020\/235\">Governing Law for Circular No CIR\/P\/2020\/235<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/swaritadvisors.com\/learning\/sebi-decides-to-relax-timelines-for-compliance-requirements\/#Extended_Timelines_for_Meeting_Compliance_Requirements_by_Stock_Exchanges\" title=\"Extended Timelines for Meeting Compliance Requirements by\nStock Exchanges\">Extended Timelines for Meeting Compliance Requirements by\nStock Exchanges<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/swaritadvisors.com\/learning\/sebi-decides-to-relax-timelines-for-compliance-requirements\/#Extended_Timelines_for_Meeting_Compliance_Requirements_by_Depositories\" title=\"Extended Timelines for Meeting Compliance Requirements by Depositories\">Extended Timelines for Meeting Compliance Requirements by Depositories<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/swaritadvisors.com\/learning\/sebi-decides-to-relax-timelines-for-compliance-requirements\/#Other_Directions_For_Stock_Exchanges_and_Depositories\" title=\"Other Directions For Stock Exchanges and Depositories\">Other Directions For Stock Exchanges and Depositories<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/swaritadvisors.com\/learning\/sebi-decides-to-relax-timelines-for-compliance-requirements\/#Conclusion\" title=\"Conclusion\">Conclusion<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/swaritadvisors.com\/learning\/sebi-decides-to-relax-timelines-for-compliance-requirements\/#Circular_No_CIR_P_2020_235\" title=\"Circular No CIR\/ P\/ 2020\/ 235\">Circular No CIR\/ P\/ 2020\/ 235<\/a><\/li><\/ul><\/nav><\/div>\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Reasons_for_Relaxing_Timelines_for_Compliance_Requirements\"><\/span>Reasons for Relaxing Timelines for Compliance Requirements<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The issuance of circular was in consequence to the representations made by the Depositories and Clearing Corporation or <strong>Stock Exchanges to SEBI<sup><a href=\"https:\/\/www.sebi.gov.in\/stock-exchanges.html\" class=\"text-primary\"><strong><em>[1]<\/em><\/strong><\/a><\/sup><\/strong> regarding the extension of timelines for compliance requirements in this pandemic situations<\/p>\n\n\n\n<p>Therefore, the main reason behind the issuance of the\ncircular by SEBI was to provide relief to clearing or trading members in this pandemic\nsituation.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Governing_Law_for_Circular_No_CIRP2020235\"><\/span>Governing Law for Circular No CIR\/P\/2020\/235<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The circular regarding the relaxation of timelines\nwas issued by SEBI under the provisions of section 11 (1) of the SEBI Act 1992\nand section 19 of the Depositories Act 1996. Also, the same aims to protect the\ninterest of investors in securities and to promote the development and\nregulation of the financial market.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Extended_Timelines_for_Meeting_Compliance_Requirements_by_Stock_Exchanges\"><\/span>Extended Timelines for Meeting Compliance Requirements by\nStock Exchanges<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The extended timelines for meeting compliance\nrequirements by Stock Exchanges and Clearing Houses are as follows: <\/p>\n\n\n\n<table class=\"wp-block-table\"><tbody><tr><td><strong>S.no<\/strong>   <\/td><td>\n  <strong>Compliance Requirements <\/strong>\n  <\/td><td>\n  <strong>New Extended Dates<\/strong>\n  <\/td><\/tr><tr><td>1<\/td><td>\n  Internal Audit\n  for the half year ended on 30.09.2020.\n  <\/td><td>\n  31.12.2020\n  <\/td><\/tr><tr><td>2<\/td><td>\n  System Audit\n  for the half year ended on 30.09.2020. \n  <\/td><td>\n  31.12.2020\n  <\/td><\/tr><tr><td>3<\/td><td>   Half yearly   Certificate for Net Worth as on 30.09.2020.   <\/td><td>\n  31.12.2020\n  <\/td><\/tr><tr><td>4<\/td><td>   Cyber Security   and Cyber Resilience Audit for the half year ended as on 30.09.2020.   <\/td><td>\n  31.12.2020\n  <\/td><\/tr><\/tbody><\/table>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Extended_Timelines_for_Meeting_Compliance_Requirements_by_Depositories\"><\/span>Extended Timelines for Meeting Compliance Requirements by Depositories<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<table class=\"wp-block-table\"><tbody><tr><td>\n  <strong>S.no<\/strong>\n  <\/td><td>\n  <strong>Compliance Requirements <\/strong>\n  <\/td><td>\n  <strong>New Extended Dates<\/strong>\n  <\/td><\/tr><tr><td>1<\/td><td>\n  Submission of the\n  half yearly Internal Audit Report by Depository Participants for the half\n  year ended on 30.09.2020. \n  <\/td><td>\n  31.12.2020\n  <\/td><\/tr><tr><td>2<\/td><td>   KYC (Know Your   Customer) application form and other supporting documents of the clients are   required to be uploaded on the system of KRA (KYC Registration Agency) within   10 business working days.   <\/td><td>   The period of   exclusion has been extended from 23.03.2020 to 31.12.2020.   .Also, after   31.12.2020, a 15 days\u2019 time period has been allowed to Depository\/ DPs as well   to clear the back log.   <\/td><\/tr><tr><td>3<\/td><td>\n  Systems Audit\n  on an annual basis for the financial year ended on 31.03.2020. \n  <\/td><td>\n  31.03.2020\n  <\/td><\/tr><\/tbody><\/table>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Other_Directions_For_Stock_Exchanges_and_Depositories\"><\/span>Other Directions For Stock Exchanges and Depositories<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>As per the Circular issued by SEBI, all the Stock Exchanges\nor Clearing Houses and Depositories are directed to inform their members\nregarding notification issued. Also, they need to disseminate the same\ninformation on their websites as well.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Conclusion\"><\/span>Conclusion<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>In a nutshell, the main reason behind the issuance\nof the circular by SEBI was to provide relief to the clearing or trading\nmembers in this pandemic situation. Also, the same was in consequence of the\nrepresentations made by the Depositories and Clearing Corporation or Stock\nExchanges to SEBI.<\/p>\n\n\n\n<p>Further, in case of any doubt of dilemma, visit <strong><a href=\"https:\/\/swaritadvisors.com\" class=\"text-primary\">Swarit Advisors<\/a><\/strong>.<\/p>\n\n\n\n<p><b>Also, Read:<\/b> <mark style=\"background: #fffd03 !important;\"><a href=\"https:\/\/swaritadvisors.com\/learning\/how-to-become-a-portfolio-manager-registered-with-sebi\/\">How to Become a Portfolio Manager Registered with SEBI<\/a><\/mark><\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Circular_No_CIR_P_2020_235\"><\/span>Circular No CIR\/ P\/ 2020\/ 235<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n<a href=\"https:\/\/swaritadvisors.com\/learning\/wp-content\/uploads\/2020\/12\/1606819746003.pdf\" class=\"pdfemb-viewer\" style=\"\" data-width=\"max\" data-height=\"max\"  data-toolbar=\"bottom\" data-toolbar-fixed=\"off\">1606819746003<br\/><\/a>\n<p class=\"wp-block-pdfemb-pdf-embedder-viewer\"><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Recently, SEBI (Securities Exchange Board of India) by way of Circular No CIR\/ P\/ 2020\/ 235, issued on 01.12.2020, has notified about the \u201cRelaxation Provided in Timelines for Compliance with the Regulatory Requirements due to COVID 19 pandemic\u201d. Further, such a Circular was passed in consequence of the representations made by Clearing Corporations or Stock [&hellip;]<\/p>\n","protected":false},"author":17,"featured_media":17518,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[380,1,546],"tags":[1036],"_links":{"self":[{"href":"https:\/\/swaritadvisors.com\/learning\/wp-json\/wp\/v2\/posts\/17513"}],"collection":[{"href":"https:\/\/swaritadvisors.com\/learning\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/swaritadvisors.com\/learning\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/swaritadvisors.com\/learning\/wp-json\/wp\/v2\/users\/17"}],"replies":[{"embeddable":true,"href":"https:\/\/swaritadvisors.com\/learning\/wp-json\/wp\/v2\/comments?post=17513"}],"version-history":[{"count":14,"href":"https:\/\/swaritadvisors.com\/learning\/wp-json\/wp\/v2\/posts\/17513\/revisions"}],"predecessor-version":[{"id":18173,"href":"https:\/\/swaritadvisors.com\/learning\/wp-json\/wp\/v2\/posts\/17513\/revisions\/18173"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/swaritadvisors.com\/learning\/wp-json\/wp\/v2\/media\/17518"}],"wp:attachment":[{"href":"https:\/\/swaritadvisors.com\/learning\/wp-json\/wp\/v2\/media?parent=17513"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/swaritadvisors.com\/learning\/wp-json\/wp\/v2\/categories?post=17513"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/swaritadvisors.com\/learning\/wp-json\/wp\/v2\/tags?post=17513"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}