The Securities and Exchange Board of India (SEBI) has announced a series of amendments aimed at tightening disclosure norms for listed public limited companies, signaling a renewed push for greater transparency and investor protection. Under the revised regulations, companies are now mandated to disclose material events and information within 12 hours of their board decisions, a significant reduction from the previous 24-hour timeline. Additionally, quarterly financial results must now include enhanced segment-wise data, promoter shareholding changes, and board meeting outcomes, ensuring stakeholders have real-time access to key operational updates.

One of the major revisions includes mandatory disclosure of any default on loan repayments or inter-corporate borrowings exceeding a threshold limit, which SEBI believes will curb opaque financial practices. Companies must now report such defaults within 24 hours to stock exchanges, regardless of whether the lender has declared it a non-performing asset. Moreover, any resignation of key managerial personnel (KMP) such as the CEO, CFO, or company secretary must be accompanied by detailed reasons and a copy of their resignation letter, reinforcing the importance of governance integrity.

SEBI has also emphasized stricter scrutiny of related party transactions (RPTs). All listed public companies must obtain prior approval from shareholders for material RPTs and submit audit committee observations in the quarterly compliance report. Failure to comply with these enhanced disclosure requirements will lead to monetary penalties and potential suspension of trading privileges. SEBI clarified that these reforms are in line with global best practices and are intended to bolster investor confidence and deter insider malpractice in Indian capital markets.