SEBI relaxes compliance with provisions of SEBI LODR requirements amidst COVID-19

SEBI relaxes compliance with provisions of SEBI LODR requirements amidst COVID-19

Due to the COVID-19 pandemic, the Securities and Exchange Board of India (SEBI) issued a circular on 15 January 2021 for relaxing the compliance with certain provisions of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 (SEBI LODR)

The Markets Regulator has inter-alia relaxed certain provisions of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 regarding general meetings, pursuant to relaxations by the Ministry of Corporate Affairs (MCA).

The circular reads, "Subsequently, MCA vide Circular on 31 December 2020, has further extended relaxations to companies to conduct their Extraordinary General Meeting (EGM) through Video Conferencing (VC) or other audio-visual means (OAVM) (hereinafter referred to in this circular as 'electronic mode') up to 30 June 2021".

The circular mentioned, "Further, vide Circular dated 13 January 2021, MCA has also extended these relaxations to Annual General Meeting (AGMs) of companies due in the year 2021i.e. till 31 December 2021".

The SEBI in its circular gave an extension for listed entities, till 31 December 2021, regarding sending physical copies of annual reports to shareholders and the requirement of proxy for general meetings held through electronic mode.

This Circular came into force on15 January 2021.The stock exchanges are advised to bring the provisions of this circular to the notice of all listed entities and also disseminate them on their websites.

The Circular is issued in exercise of the powers conferred under Section 11(1) of the Securities and Exchange Board of India Act, 1992 (SEBI Act) read with Regulation 101 of the SEBI LODR.