Notification on pledged shares by sebi..

THE GAZETTE OF INDIA

EXTRAORDINARY

PART -III- SECTION 4

PUBLISHED BY AUTHORITY

NEW DELHI, JANUARY 28, 2009

SECURITIES AND EXCHANGE BOARD OF INDIA

NOTIFICATION

MUMBAI, the 28th January, 2009

Securities and Exchange Board of India

(Substantial Acquisition of Shares and Takeovers)

(Amendment) Regulations, 2009

No. LAD-NRO/GN/2008-2009/33/15022. In exercise of the powers conferred by Section

30 of the Securities and Exchange Board of India Act, 1992 (15 of 1992), the Board

hereby makes the following regulations to amend the Securities and Exchange Board of

India (Substantial Acquisition of Shares and Takeovers) Regulations, 1997, namely:-

1. (i) These regulations may be called the Securities and Exchange Board of India

(Substantial Acquisition of Shares and Takeovers) (Amendment) Regulations,

2009.

(ii) These regulations shall come into force on the date of their publication in the

Official Gazette.

2. In the Securities and Exchange Board of India (Substantial Acquisition of

Shares and Takeovers) Regulations, 1997 -

(i) after regulation 8, the following regulation shall be inserted, namely:-

" Disclosure of pledged shares.

8A. (1) A promoter or every person forming part of the promoter group of

any company shall, within seven working days of commencement of

Securities and Exchange Board of India (Substantial Acquisition of Shares

and Takeovers) (Amendment) Regulations, 2009, disclose details of

shares of that company pledged by him, if any, to that company.

(2) A promoter or every person forming part of the promoter group of any

company shall, within 7 working days from the date of creation of pledge

on shares of that company held by him, inform the details of such pledge

of shares to that company.

(3) A promoter or every person forming part of the promoter group of any

company shall, within 7 working days from the date of invocation of

pledge on shares of that company pledged by him, inform the details of

invocation of such pledge to that company.

Explanation: For the purposes of sub-regulations (1), (2) and (3) the term

"promoter" and "promoter group" shall have the same meaning as is

assigned to them under Clause 40A of the Listing Agreement.

(4) The company shall disclose the information received under subregulations

(1), (2) and (3) to all the stock exchanges, on which the shares

of company are listed, within 7 working days of the receipt thereof, if,

during any quarter ending March, June, September and December of any

year,:-

(a) aggregate number of pledged shares of a promoter or every person

forming part of promoter group taken together with shares already

pledged during that quarter by such promoter or persons exceeds

twenty five thousand; or

(b) aggregate of total pledged shares of the promoter or every person

forming part of promoter group alongwith the shares already

pledged during that quarter by such promoter or persons exceeds

one per cent. of total shareholding or voting rights of the company,

whichever is lower."

C. B. BHAVE

CHAIRMAN