Faced with a subdued response and corporate demand, Securities and Exchange Board of India extended the duration of its amnesty scheme by two months for listed companies and individuals, who have failed to make disclosures or had delayed it, under the takeover regulations.
The Sebi Regularisation Scheme for persons covered under sections 6(1), 6(3), 8(1) & 8(2) of the takeover code was to remain in force till year-end but now it would remain open till February 28, 2003, Sebi said in a release in Mumbai.
For corporates covered under 6(2), 6(4) & 8(3) of the regulations, the scheme would now remain open till March 31, 2003 instead of January 31, 2003.
Sebi sources said there was not much response to the amnesty scheme, which commenced from October one, 2002 and many corporates had sought extension of the scheme.
Under the scheme, corporates and individuals would be required to make disclosure and pay a lumpsum amount of Rs 10,00, Sebi had said.
This scheme was not open to cases where penalties have already been imposed by the market regulator, the release said.
After the expiry of the scheme, Sebi may initiate penal action against persons and companies who fail to comply with the regulations, it said.
Many listed companies and their promoters/shareholders who have either not complied or had delayed compliance were liable for monetary penalty and prosecution under the Sebi Act, 1992, the regulator said.