The Securities Exchange Board of India (“SEBI”) has released updated Master Circulars for Investment Advisers (“IAs”) and Research Analysts (“RAs”) on May 21, 2024 (“Master Circulars”).
Continue Reading SEBI Recognises Stock Exchanges as Supervisory and Administrative Body for Investment Advisers and Research Analysts
On March 20, 2024, the Insurance Regulatory and Development Authority of India (“IRDAI”) notified the IRDAI (Registration, Capital Structure, Transfer of Shares and Amalgamation of Insurers) Regulations, 2024 (“Registration and Capital Regulations”), which consolidated and rationalised the regulatory framework applicable on an Indian insurer in aspects, including listing on a stock exchange pursuant to an initial public offer (“IPO”) that may consist of a fresh issue of equity shares or an offer for sale. Our detailed analysis on the other aspects of Registration and Capital Regulations can be found here.
Continue Reading IRDAI Regulatory Reform Series: Listing of Indian Insurance Companies on Stock Exchanges
In our previous two FIG Papers of PA/PG Framework (here) and (here), we shared our key learnings in connection with operations of payment aggregator and payment gateway guidelines issued by the Reserve Bank of India (“RBI”) on March 17, 2020 (as amended from time to time) (“PA/PG Guidelines”).
Continue Reading FIG Paper (No 35- Payments Series 3)– The new Draft Directions for Regulations of Payment Aggregator
Fashion has always been about expressing oneself, making retail therapy an important concept in modern society.
Enter, digital technology, or in this case, the combination of fashion and technology. This made even the most uninterested shopper indulge in some impulse buying or atleast ‘window’ shopping, often intrigued by the features on various shopping apps.
Continue Reading Fashion-Tech: From Runways to Regulations
Cutting across sectors and borders, the Digital Personal Data Protection Act, 2023 (DPDPA or Act), a lean, principles-based, horizontal legislation was enacted in August 2023 (yet to come into effect). Given the substantive procedural aspects under the Act being left for delegated legislation, the first set of rules is expected to be released for public consultation within 100 (hundred days) of the end of the ongoing General Elections,[1] if the incumbent government is re-elected.
Continue Reading Need for Syncing Sectoral Regulations with Data Protection Law
The Reserve Bank of India (“RBI”) vide its circular dated May 21, 2024 (“Circular”),[1] has required that issuance of partly paid-up units by Alternative Investment Funds (“AIFs”) to foreign investors prior to March 14, 2024, should be regularised through compounding under Foreign Exchange Management Act, 1999 (“FEMA”). Compounding by RBI is prescribed for the contravention of foreign exchange regulations as per Foreign Exchange (Compounding Proceedings) Rules, 2000, and involve payment of a fees. In many instances, compounding requires payment of a monetary penalty to RBI.
Continue Reading The Reserve Bank Of India Mandates Compounding For Issuance Of Partly Paid-Up Units By AIFs Prior To March 14, 2024
India has been preparing for the Digital Personal Data Protection Act, 2023 (“DPA”), for almost a year now. During this time, companies have realised that relying on consent as a long-term basis for processing may be difficult, and instead, using ‘legitimate uses’[1], as the bases for processing may be a better alternative.
Continue Reading Handle with CARE: Relying on “Purposes of Employment” for Processing Employee Data
In part V of our series on key legal considerations for establishing global capability centres (“GCCs”) in India,[1] we discuss the key factors to keep in mind when determining the location where the GCC is to be set up here.
Continue Reading Optimal locations for Global Capability Centres (GCCs) in India: Where to set it up?
The Insurance Regulatory and Development Authority of India (“IRDAI”) has a statutory duty to regulate, promote and ensure orderly growth of the insurance business and reinsurance business in India. Based on the IRDAI’s initiative to promulgate consolidated and principle-based regulations to govern the insurance industry, the Life Insurance Council and General Insurance Council (representative bodies of life and general insurers, respectively) constituted the Regulation Review Committee (“RRC”) to review the entire insurance regulatory framework and recommend principle-based regulations.
Continue Reading IRDAI Regulatory Reform Series: Registration and Capital Structure of Indian Insurance Companies
The Foreign Portfolio Investor (“FPI”) regime is a foreign investments’ entry route in India, whereby FPIs can invest in Indian securities, subject to compliance with India’s foreign exchange control laws and the regulatory framework issued by the Securities and Exchange Board of India (“SEBI”). As part of the Know Your Customer (“KYC”) process for FPI registration, identification and verification of Beneficial Owner(s) (“BO”) is required to be undertaken as per Rule 9 of the Prevention of Money Laundering (Maintenance of records) Rules, 2005 (“PMLR”),[1] which is a part of the Indian AML/ CFT legal framework.
Continue Reading New SEBI FPI Beneficial Owner Disclosure Norms