Utt. HC: Conditional Liberty Must Override Statutory Embargo Under NDPS Act  ||  Utt. HC: While Exercising Inherent Jurisdiction, HC Does Not Function As Court of Appeal or Revision  ||  Pat. HC: Alcohol Consumption Cannot be Conclusively Proved Through Breath Analyzer Report  ||  Ker. HC: Emp. Messaging in Pvt. Whatsapp Group About Safety of Company Doesn’t Attract Disc. Proc.  ||  Ker. HC: Circular Issued to Enable Service of Notice, Summons Through E-Post in Trivandrum  ||  Gau. HC: Compensation Denied Over Death of Man Not Proved to be Bonafide Passenger  ||  Madras HC: Public Service is Being Performed by Lawyers, They Cannot be Denied Funds  ||  Gau. HC: Compensation Awarded to Wife of Deceased Driver Enhanced  ||  Bom. HC: Bar Council of Mah. & Goa Directed to Take Action Against Lawyer Who Appeared Without Band  ||  Delhi High Court: Bail Granted to Chief Minister Arvind Kejriwal in Liquor Policy Scam Case    

Relaxation from default recognition due to restructuring of debt- (Securities and Exchange Board of India) (31 Aug 2020)

MANU/SCRR/0005/2020

Capital Market

1. CRAs recognize default based on the guidance issued vide SEBI circulars dated May 3, 2010 and November 1, 2016. Further, SEBI vide circular dated March 30, 2020 had provided for relaxation from recognition of default owing to moratorium permitted by RBI and lockdown due to COVID-19 pandemic.

2. The Reserve Bank of India (RBI), vide notification no. RBI/2020-21/16 DOR. No. BP.BC/3/21.04.048/2020-21 dated August 6, 2020, has provided for a resolution framework for COVID-19 related stress.

3. Based on its assessment, if the CRA is of the view that the restructuring by the lenders/investors is solely due to COVID-19 related stress or under the aforementioned RBI framework, CRAs may not consider the same as a default event and/or recognize default. Appropriate disclosures in this regard shall be made in the Press Release.

4. The above relaxation is extended till December 31, 2020.

5. This circular is issued in exercise of the powers conferred by Section 11 (1) of Securities and Exchange Board of India Act, 1992 read with the provisions of Regulation 20 of SEBI (Credit Rating Agencies) Regulations, 1999, to protect the interest of investors in securities and to promote the development of, and to regulate, the securities market.

Tags : RELAXATION   DEFAULT RECOGNITION   RESTRUCTURING OF DEBT  

Share :        

Disclaimer | Copyright 2024 - All Rights Reserved