Weekly Corporate Affairs Newsletter – [ Period 14/02/2022 to 21/02/2022 ]

1.SEBI UPDATES:

[Sl. Particulars Link 
1 Informal Guidance sought by HDFC Securities Limited regarding Securities Contracts (Regulations) Rules, 1957 Click Here 
2 Trading features pertaining to the Electronic Gold Receipts (EGR) segment Click Here 
3 Standard Operating Guidelines for the Vault Managers and Depositories – Electronic Gold Receipts (EGR) segment Click Here 
4 Union Finance Minister addresses Board Members of SEBI Click Here 
5 SEBI Board Meeting Click Here 
6 Corrigendum to Master Circular for Depositories dated February 05, 2021 on Opening of demat account in case of HUF Click Here 
7 Adjudication Order in respect of Manish Kandhari HUF in the matter of dealings in Illiquid Stock Options at the Bombay Stock Exchange Click Here 
 8 Consultation Paper on Disclosures for ‘Basis of Issue Price’ section in offer document under SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2018  Click Here 

2. MCA – 21 UPDATES

Sl. Particulars Link 
 1 Relaxation on levy of additional fees is given till 15.03.2022 for filing of e- forms AOC-4, AOC-4 (CFS), AOC-4, AOC-4 XBRL AOC-4 Non-XBRL and 31.03.2022 for MGT-7/MGT-7A for the financial year ended on 31.03.2021.  To avoid any last-minute payment transaction issues, Stakeholders may avail ‘Pay Later option’ for form filings and save the challan which gets generated on the screen for future reference   Click Here 
 2 Keeping in view of proposed launch of LLP Modules in MCA21 V3, please take note that LLP e-Filings will not be available from 25th Feb 2022, 12:00 AM till 05th Mar 2022, 11:59 PM  Click Here 
3 The Limited Liability Partnership (Amendment) Rules, 2022 Click Here 
4 Form CSR-2 (Report on Corporate Social Responsibility) notified vide Companies (Accounts) Amendment Rules, 2022 dated 11th February 2022 is available for filing purposes now under MCA Services -Company services- CSR-2 Click Here 
5 Notice In the matter of Section 75 of the Limited Liability Partnership Act, 2008 read with Rule 37 (2) of Limited Liability Partnership Rules, 2009. Click Here 
6 SALE PROCLAMATION FOR SALE OF ASSETS AND PROPERTIES OF M/S. ARGUS CLOTH COMPANY LTD.(IN LIQUIDATION) Click Here 

3. RBI / BANKS UPDATES

Sl. Particulars Link 
1 What RBI needs to keep in mind for a new digital currency Click here 
2 RBI to scrap filing of some paper-based filings returns Click here 
3 RBI to get its own office space at Patto in three years Click here 
4 RRA recommends withdrawal of 100 more circulars: RBI – The RRA had recommended withdrawal of 150 circulars in the first tranche of recommendations in November last year. Click here 
5. RBI move to defer revised NPA norms eases provision burden in Q4 Click here 
6. Interest rates are unlikely to go any lower, signals RBI Click here 

4. IBC / INSOLVENCY LAW UPDATES

Sl. Particulars Link 
1 Live Session on “IBC Ecosystem: Milestones Achieved” on Gyandarshan TV Channel Click here 
 2 The Insolvency and Bankruptcy Board of India (IBBI) organises a Webinar on “Engagement of Professionals during CIRP”. Click here 
3 Amend IBC keeping India’s unique needs in mind Click here 
4 Court Of Additional Sessions Judge Not Empowered To Try Offences Under IBC: Bombay High Court Click here 

5. LABOUR LAW UPDATES

6. PRESS INFORMATION

Sl. Particulars Link 
1 Further Extension in date of filing of Application under the Production Linked Incentive (PLI) Scheme for Textiles Click here 
2 NFRA issues Financial Reporting Quality Review (FRQR) Report of Prabhu Steels Industries Limited (CIN: L28100MH1972PLC015817) for FY 2019-20 Click here 
3 Fintech month kickstarts on an inspiring note Click here 
 4 Continuation of Capacity Development Scheme, a Central Sector Scheme of Ministry of Statistics and Programme Implementation (MOSPI) Till 31.03.2026.  Click here 
5 NITI Aayog in association with PhonePe launches the Fintech Open Hackathon Click here 
6 India Invites Startups and FPOs to Capitalise on Agri and Food Processing Policies at EXPO2020 Dubai Click here 
7 Gems & Jewellery sector is expected to achieve export target of $40 Billion this year: Shri Piyush Goyal Click here 
8 Government approves Rashtriya Uchchatar Shiksha Abhiyan (RUSA) Scheme to continue till 31st March, 2026 Click here 
 9 Govt. of India, World Bank sign loan agreement of $115 million for implementation of “Rejuvenating Watersheds for Agricultural Resilience through Innovative Development” (REWARD) Project Click here 
10 Modi Government approves implementation of Inter-Operable Criminal Justice System (ICJS) project during the period 2022-23 to 2025-26 Click here 
11 Provisional Data Base of Companies and their Auditors under NFRA domain as on 31st March, 2021 Click here 
12 Semicon India takes a step forward with Acceptance of Applications for Semiconductor and Display Fabs Click here 
13 Government of India to Infrastructure across the nation expand Public Electric Vehicle Charging Click here 

7. IPO & INVESTMENT SECTION  

Issuer Company Exchange Open Close Lot Size Issue Price (Rs) Issue Size (Rs Cr) 
Ekennis Software Service Limited IPO BSE SME Feb 21, 2022 Feb 24, 2022 1600 72 2.88 

Key Updates in Brief {Source- ET, BS etc.} 

1. LIC IPO: Deadline for policyholders to update PAN to apply for shares 

To invest in the much-awaited LIC IPO, policyholders must have two things: policyholder’s PAN should be updated on the LIC portal, policyholder should have a demat account. According to the LIC DRHP filed with SEBI, a policyholder who does not update his/her PAN before February 28, 2022 will not be eligible to participate in its IPO under the portion reserved for policyholders. 

According to the LIC DRHP filed with SEBI, a policyholder who does not update his/her PAN before February 28, 2022 will not be eligible to participate in its IPO under the portion reserved for policyholders. According to the LIC DRPH, “A policyholder of our Corporation shall ensure that his / her PAN details are updated in the policy records of our Corporation at the earliest.

How to update PAN details on LIC website

  1. Step 1: Visit the official LIC website https://licindia.in/ Or visit the page directly- https://linkpan.licindia.in/UIDSeedingWebApp/ 
  1. Step 2: From the home page, select the ‘Online PAN Registration’ option. 
  1. Step 3: On the Online PAN Registration page, tap the ‘Proceed’ button. 
  1. Step 4: Provide your correct email address, PAN, mobile number and LIC policy number. 
  1. Step 5: Enter the Captcha code in the box. 
  1. Step 6: Click on ‘Get OTP’ 
  1. Step 7: Once you’ve received the OTP, input the OTP digits into the space provided for it on the portal and submit. 

How to check PAN-LIC status 

  • Step 2: Enter Policy Number, Date of Birth, and PAN information, as well as the captcha. Then press the Submit button. 

To read more: Click Here 

2. LIC likely to launch $8 billion IPO on March 11 

A public offering of shares by India’s state-run Life Insurance Corp (LIC), set to be the country’s biggest ever at $8 billion, is expected to open for anchor investors on March 11, three sources with direct knowledge of the matter told Reuters. The book will open for bidding by other investors a couple of days later, the sources said. 

LIC’s initial public offering (IPO) is expected to obtain regulatory approval by the first week of March, after which an indicative marketing price band will be set, said the sources, declining to be named as the deal discussions are private. 

LIC, the country’s largest insurance company, filed a draft IPO prospectus on Sunday with the market regulator to sell 5% of the Indian government’s stake to potentially raise nearly $8 billion. The government is rushing to complete the IPO by the end of March to meet its 2021/22 fiscal deficit target of 6.4% of gross domestic product (GDP), which is contingent on it raising around Rs 60,000 crore ($8.03 billion) from the issue. To read more: Click Here 

3. Federal Bank’s subsidiary FedFina files IPO papers with Sebi 

Fedbank Financial Services Ltd (FedFina), which is promoted by Federal Bank, has filed preliminary papers with capital markets regulator Sebi to raise funds through an initial public offering (IPO). The public issue consist of a fresh issue aggregating up to Rs 900 crore and an Offer for Sale (OFS) of up to 45,714,286 equity shares by promoter and investor, according to the draft red herring prospectus (DRHP). 

The OFS comprises up to 16,497,973 equity shares by Federal Bank and up to 29,216,313 equity shares by True North Fund VI LLP. Federal Bank will continue to own more than 51 per cent of the outstanding share capital post the completion of this offering. The company proposes to utilise the net proceeds from the fresh issue towards augmenting its Tier – I 

capital base to meet its future capital requirements arising out of the growth of business and assets. To read more: Click Here 

4. SEBI moots new disclosure framework for IPOs of loss-making cos

  1. Markets watchdog Sebi on Friday proposed that loss-making new age technology companies planning to list their shares should make disclosures about their key performance indicators considered for arriving at the basis of issue price in offer documents. 

Besides, such companies should make disclosures about their valuations based on issuance of new shares and acquisition of shares in the past 18 months before filing draft offer documents, according to a consultation paper. 

The move comes against the backdrop of many new age companies, that do not have a track record of having an operating profit at least in the preceding three years, tapping the Initial Public Offering (IPO) route to raise funds. The Securities and Exchange Board of India (Sebi) has sought comments from the public on the consultation paper till March 5, 2022. 

To read more: Click Here 

8. IRDAI – INSURANCE UPDATES

Sl. Particulars Link 
1 Proposed Amendments to IRDAI (Third Party Administrators – Health Services) Regulations, 2016 Click here 
2 Review of Articles of Association (AOA) of Indian Institute of Insurance Surveyors and Loss Assessors (IIISLA) Click here 
3 Proposed amendments to IRDAI (Health Insurance) Regulations, 2016 Click Here 
4 Gross premium underwritten by non-life insurers within India (segment wise),January, 2022 Click Here 
5 Holding more than one certificate of registration by FRBs in one group Click Here 
Sl. Particulars Link 
1 #DidYouKnow: #NewIndia is the 2nd largest telecom market globally! Click here 
2 India is one of the highest data consumers per day, with ~5 hours of daily time spent on smartphones! Click here 
3 Helpline Number 155260 has been changed to 1930. In case of cyber fraud, may register complaint at http://cybercrime.gov.in and take assistance on #helpline No. 1930. Click here 
4 The number of mobile towers in #NewIndia have increased by 65% from 2014 to 2021. Click here 
5 TRAI releases consultation paper on ”Promoting Networking and Telecom Equipment Manufacturing in India” Click here 

10. MSME / SME UPDATES

Sl. Particulars Link 
1 Success Story: Pmegp Scheme Provides Impetus to Enterprise Click here 
2 AWARENESS EVENT ON MSME CLUSTER Click here 
3 Draft National MSME Policy: Govt Proposes Tech Upgradation And Eight Other Action Areas For MSMEs Click here 
4 RBI’s new deadline to comply with NPA norms will give respite to NBFCs into MSME lending: Experts Click here 
5 67% MSMEs were temporarily shut, profits dipped for 66% in FY21: SIDBI survey Click here 

11. COMPETITION COMMISSION OF INDIA  

Sl. Particulars Link 
1 Supreme Court asks Future Retail to move Delhi HC on NCLT proceedings Click here 
2 Competition Commission of India (CCI) Imposes Massive Penalty On Tyre Companies Click here 
3 NCLAT adjourns hearing on Amazon plea till February 25 Click here 
4 Supreme Court asks Future Group to move Delhi HC over NCLT proceedings Click here 

12. CABINET DECISIONS / NEW ACTS

Sl. Particulars Link 
1 Cabinet approves preparations for India’s G20 Presidency and setting up and staffing of the G20 Secretariat Click here 
2 Social Justice and Empowerment Ministry to launch a Scheme for Economic Empowerment of DNTs (SEED) Click here 
3 Draft Notification issued for Vehicle Tracking System Device Click here 
4 Notification issued for safety measures for children below four years of age, riding or being carried on a motor cycle. Click here 
5 Government notifies Guidelines on Extended Producers Responsibility on plastic packaging under Plastic Waste Management Rules, 2016 Click here 
Sl. Questions Answers 
 1 Where is the headquarters of the ‘United Nations Conference on Trade and Development’ located? Geneva 
2 Which African country has recently declared a Polio outbreak? Malawi 
3 Where was the 6th African Union – European Union Summit held? Brussels 
4 With reference to plastic packaging, what does EPR stand for? Arunachal Pradesh 
5 Which country holds the Presidency of G 20 in 2022? Indonesia 
6 Which is the venue of ‘DefExpo 2022’ Defence Exhibition? Gandhi Nagar 
7 Which institution hosts the ‘World Sustainable Development Summit’? The Energy and Resources Institute 
8 India signed a LoI on New and Renewable energy technology with which country? Australia 
9 What is  the main objective  of PM Gati Shakti National Master Plan (NMP)? Infrastructure Development 
10 ‘Cope South 22’ is a joint airlift exercise between which countries? Bangladesh and the United States 

Top 5 Current Affairs:

  1. The Government of India’s, MoEFCC has recently notified guidelines on Extended Producer Responsibility (EPR) for plastic packaging, under the Plastic Waste Management (Amendment) Rules, 2022. This aims to eliminate single use plastic. 
  1. In the women’s category, Kerala defeated the Indian Railway 3-1, to lift the 70th Senior National Volleyball (Men & Women) Championship 2021-22, held at the Biju Patnaik Indoor Stadium, KIIT Deemed to be University, Bhubaneswar. 
  1. NPCI International Payments Limited (NIPL) has partnered with Gateway Payments Service Pvt Ltd and Manam Infotech Private Limited to deploy UPI in Nepal. 
  1. Environment clearance has been issued to as many as 60 mining areas and legal mining of Bajri (riverbed sand) is initiated in Rajasthan. Four years ago, the Supreme Court banned the sand mining activities in riverbeds until a scientific replenishment study was completed. The apex court later appointed a Central Empowered Committee (CEC) to probe the issue of illegal sand mining. 
  1. The Andhra Pradesh Police has initiated ‘Operation Parivartan’, a special operation to eliminate the cultivation of cannabis. This operation was led by the Andhra Pradesh Police with the Special Enforcement Bureau (SEB) in Visakhapatnam. Recently, around 2 lakh kilograms of processed cannabis was seized while it was being shipped out. 

Disclaimer: This write up is prepared as a Knowledge Sharing Initiative. *Every effort has been made to avoid errors or omissions in this material. In spite of this, errors may creep in. Any mistake, error or discrepancy noted may be brought to our notice which shall be taken care of in the next edition. . In no event the author shall be liable for any direct, indirect, special or incidental damage resulting from or arising out of or in connection with the use of this information.