CS Edge / SEBI

CS Edge – Issue 7: SEBI modifies format for compliance report on Corporate Governance

Every listed company has to submit a compliance report on corporate governance from time to time i.e.

  1. every quarter,
  2. at the end of financial year (for the whole financial year)
  3. within six months from the end of financial year

Regulation  27(2)  of  SEBI  (Listing  Obligations and   Disclosure Requirements)  Regulations,  2015  (“Listing   Regulations”) has mandated listed entities to submit a quarterly  compliance  report  on corporate  governance  to recognised Stock Exchange(s). The report has to be filed in the format specified by SEBI within fifteen days from close of each quarter.

On July 16, 2019, SEBI issued a circular modifying the formats of the compliance reports. The modified formats will be effective from the quarter ended September 30, 2019.

The major change in the quarterly compliance report is that more information has to be given by the listed entity on composition of board of directors, composition of committee and meetings of board and committee.

The major change is the report to be submitted at the end of financial year is that a listed entity has to has to provide link of website for the various disclosures made in terms of Listing regulations. If the disclosures are not made, the listing entity also has to give reasons for the same.

For half yearly report, a column has been added to state whether Chairperson of the Stakeholder Relationship committee was present at the annual general meeting.

The modified formats are given in the circular issued by SEBI. Click here to view circular and the formats.

 

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