Sebi Proposes Rs 50,000 Fine for Firms Not Cooperating with Monitoring Agencies

Sebi proposes Rs 50,000 fine for firms not cooperating with monitoring agencies

Sebi has proposed a fine of ₹50,000 for each instance of non-cooperation by listed companies. Monitoring agencies would be empowered to submit reports directly to stock exchanges. Stricter enforcement measures may include freezing promoters' demat accounts. Companies are required to provide information to monitoring agencies within prescribed timelines. This initiative aims to ensure better accountability regarding the utilization of funds raise…

Sebi proposes stricter IPO funds tracking, fines for non-cooperation

The regulator’s consultation paper suggests allowing monitoring agencies to report directly to exchanges and penalizing uncooperative issuers with a ₹50,000 fine and frozen demat accounts.

SEBI proposes mandatory monitoring for all public issues

The proposed changes also allow direct reporting to stock exchanges and introduce graded enforcement, including possible freezing of promoters’ demat accounts.

Sebi proposes review of framework for monitoring utilization of issue proceeds

Sebi has invited public comments on recommendations to review rules governing the monitoring and disclosure of issue proceeds by listed companies. The consultation paper, based on a working group’s report, also covers penalties for non-compliance and related-party transaction provisions. Stakeholders can submit comments and supporting rationale by November 3, 2026.

SEBI proposes tightening of proceeds from all issues, freezing promoters’ demat accounts for non-cooperation

Stock exchanges may impose a Rs 50,000 fine for each instance of non-cooperation and initiate action against promoters if companies fail to rectify the violations.