(a) whether the market regulator SEBI has decided for strict disclosure norms for the companies;
(b) if so, whether in an effort to bring in transparency for the common investors SEBI is launching an electronic data filing system for 200 companies;
(c) if so, the details in this regard; and
(d) to what extent they have been helpful?
MINISTER OF STATE IN THE MINISTRY OF FINANCE AND COMPANY AFFAIRS (SHRI ANANDRAO V. ADSUL)
(a) The market regulator, the Securities and Exchange Board of India
(SEBI) has prescribed strict disclosure norms, for example, in the
SEBI (Disclosure and Investor Protection) Guidelines, 2000 for
companies making public issues; in the SEBI (Substantial Acquisition
of Shares and Takeovers) Regulations, 1997 and as part of corporate
governance requirements. Further, SEBI has recently advised exchanges
to amend the listing agreement requiring companies to disclose,
inter-alia, audit qualifications and matters regarding buy back of
securities.
(b) & (c) On 5th July 2002, SEBI launched an Electronic Data
Information Filing and Retrieval System (EDIFAR) to facilitate
electronic filing of information by listed companies, including
financial statements, corporate governance reports, shareholding
pattern statement, action taken against the company by any regulatory
agency etc. This is an automated system for filing, retrieval and
dissemination of time-sensitive corporate information which is now
being filed physically with stock exchanges by listed companies.
The system is being introduced in a phased manner and is at present
applicable to 700 companies.
(d) This system has been launched recently. It has been effective in
enhancing information dissemination; providing easy access to timely
and accurate corporate information; and facilitating informed decision
making, thereby enhancing transparency and efficiency in the
securities markets.