SEBI amnesty scheme

MUMBAI SEPT. 26. The Securities and Exchange Board of India (SEBI) will introduce an amnesty scheme — SEBI Regularisation Scheme — for listed companies and individuals who have failed to make or delayed disclosures under the takeover code to free market regulator to concentrate on `substantial issues'. Since the introduction of takeover code five years ago, about 5,000 corporates and 4,000 individuals have failed to make disclosures under takeover regulations, SEBI chairman, G. N. Bajpai, said at a function organised by Indian Ventures Capital Association (IVCA) here. Instead of getting engrossed in adjudication proceedings, SEBI would like to clear such cases by asking defaulters to pay a lumpsum Rs. 10,000 per non-disclosure, Mr. Bajpai said. This scheme was not open to cases where penalties have already been imposed by the market regulator. The scheme would remain in force for three months, till December 31, for persons covered under `Sections 6(1), 6(3), 8(1) and 8(2) of the takeover code' and it would remain open for four months for companies covered under 6(2), 6(4) and 8(3) of the regulations.According to the IVCA data, venture funds invested $907.6 million into 101 Indian companies in 2001. PTI