The Hindu : Time extended for appointing common share registry

Online edition of India's National Newspaper
Thursday, Feb 13, 2003

Business

Business

Time extended for appointing common share registry

MUMBAI FEB. 12. Following requests from companies and business chambers, the Securities and Exchange Board of India today extended the deadline for issuing companies to appoint a common agency to share registry by two months to March 31.

"This extension is being granted as a one-time relief measure and any non-compliance will invite appropriate penal action under relevant acts and regulations,'' SEBI said in a communication to the stock exchanges here.

The companies should furnish compliance certificate latest by April 7 to the stock exchanges wherever their securities are listed as well as to the depositories wherever the securities have been admitted, it added.

The regulator had received representations from chambers of commerce, professional bodies, issuer companies and other market participants requesting an extension of time, SEBI added. On December 27 the regulator had asked the issuing companies to entrust share registry work to only one unit, either to in-house department or SEBI approved registration and transfer agent before February 1.

"Many companies have internal unit to handle physical share work while they farm out work for electronic connectivity leading to delay in dematerialisation,'' SEBI had said.

Share reconciliation was also adversely affected due to lack of proper co-ordination among the concerned agencies or departments, it said.

— PTI

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