| | Amendments to 'Z' Group Guidelines The Governing Board in its meeting held on 16th January, 2002, has approved amendments to guidelines for shifting/retaining companies to/in 'Z' Group. As per the revised guidelines, the Exchange will consider any three out of the following seven criteria of non-compliance for shifting a company to the 'Z' Group. | Listing Agreement Clause | Description | | Clause 15 & 16 | Required notice of Book Closure & Record Dates. | | Clause 31(1)(a) | Yearly submission of Annual Reports. | | Clause 35 | Quarterly submission of shareholding pattern. | | Clause 38 | Payment of Annual Listing Fees. | | Clause 41 | Publication of Audited / Unaudited results on a quarterly basis. | | Clause 3, 12, 21 | Redressal of Investors' Complaints (regarding share transfers etc.) | | Clause 49 | Implementation of corporate governance, if applicable. |
Further,- The Governing Board/Listing Committee will have the discretionary powers to shift any company to and from the 'Z' Group.
- The Surveillance Department will have the discretionary powers to add or remove companies from this group based on their investigation/complaint/trading behaviour, etc.
- The Investor's Service Cell will have the discretionary powers to add or remove companies from "Z" Group.
- Companies who fail to make demat arrangement with both the depositories, would be in 'Z' Group.
- The Exchange will also take into account punitive actions, if any, taken by any regulatory authorities against a company for shifting to "Z"Group.
- Notwithstanding what is stated in the aforesaid criteria, the Exchange may suspend trading in any security for non-compliance of any one or more clauses as it may consider necessary.
Once a company is shifted to 'Z' Group, the compliance of the company as to Listing Agreement will be monitored on a quarterly basis and only upon satisfactory compliance record for one quarter, the company would be shifted back to its parent group. This is applicable even for companies which are suspended. The quarterly review would be done only in the month of February, May, August and November.
The revised criteria for shifting the securities of the companies to the 'Z' Group and vice versa would be shortly available on the website of the Exchange. A. N. Joshi
Executive Director
February 11, 2002 | |
