The Securities and Exchange Board of India (SEBI) on March 13, 2024, issued a notification to repeal the Circular related to the outlining procedure to deal with cases where securities are issued before April 01, 2014, involving offer I allotment of securities to more than 49 but up to 200 investors in a financial year
This has a reference to the circular No. CIR/CFD/DIL3/18/2015 dated December 31, 2015 and Circular No. C'FD/DIL3/CIR/ P12016/53 dated May 03, 2016, lays down the procedure to deal with cases where securities are issued before April 01, 2014, involving offer I allotment of securities to more than 49 but up to 200 investors in a financial year.
The following has been stated namely: -
• It has been decided to repeal the aforesaid circulars and the same shall stand rescinded with effect from 6 months from the date of issue of this circular, without prejudice to the operation of anything done or any action taken under the said circulars.
• It states that the above-said option shall be available only to those companies who have completed the entire procedure and submitted the certificate in terms of the circular mentioned within 6 months from the date of issue of this circular,
• It further states that all cases involving an offer or allotment of securities to more than the permissible number of investors in a financial year shall be dealt with in line with the provisions contained under the extant applicable laws.
[Circular No. SEBI/110/CFD/PoD-1/P/CIR/2024/016]
