Transaction & Regulatory Advisory Update – January 2025

In this edition we have tried to bring you notice the latest amendment that followed in the month of January, 2025 issued by SEBI and RBI. 

SEBI

SEBI Investor website and Saarthi App offer free tools and resources for 

Investor Awareness and Education 

Securities and Exchange Board of India (SEBI), as part of its mandate to protect the 

interests of investors in the securities market, has provided a comprehensive suite of 

tools and resources on  its  official  investor  website  to  enhance  investor  awareness and education. These tools and resources aim to help both prospective and existing investors navigate their investment journey.

To read more:

https://www.sebi.gov.in/media-and-notifications/press-releases/jan-2025/sebi-investor-website-and-saarthi-app-offer-free-tools-and-resources-for-investor-awareness-and-education_90467.html

Revise and Revamp Nomination Facilities in the Indian Securities Market

In order to revise and revamp the norms for nomination for demat accounts and mutual fund (MF) folios and to prevent the generation of unclaimed assets in the Indian securities market, SEBI came out with a consultation paper in February, 2024, seeking comments from the public on various  aspects  of  nomination. Pursuant to the approval of the Board for amending the respective regulations1, the existing nomination facilities in the  Indian  securities  market,  to  the  extent  of aforesaid, are being revised. 

 To read more:

https://www.sebi.gov.in/legal/circulars/jan-2025/circular-on-revise-and-revamp-nomination-facilities-in-the-indian-securities-market_90698.html

Certain amendments to SEBI  (Listing  Obligations  and Disclosure   Requirement)   Regulations,   2015   with the objective of encouraging dematerialization of securities and streamlining certain processes in view of current regulatory landscape

This consultation  paper seeks comments  /  views  /  suggestions from  the public and other  stakeholders on  the following proposals  relating  to amendments  to  the Securities   and   Exchange   Board   of   India   (Listing   Obligations   and   Disclosure Requirements) Regulations, 2015 (“LODR Regulations, 2015”):

1.1Mandatingissuance of new securities pursuant to (i) consolidation/split of face value of securities and (ii) scheme of arrangements, only in dematerialised form.

1.2Modification to certain provisions in view of current market developments.

To read more:

https://www.sebi.gov.in/reports-and-statistics/reports/jan-2025/consultation-paper-on-certain-amendments-to-sebi-lodr-regulations-2015-with-the-objective-of-encouraging-dematerialization-of-securities-and-streamlining-certain-processes-in-view-of-current-regulato-_90753.html

RBI

Foreign Exchange Management (Mode of Payment and Reporting of Non-Debt Instruments) (Third Amendment) Regulations, 2025

In exercise of the powers conferred by Section 47 of the Foreign Exchange Management Act, 1999 (42 of 1999), the Reserve Bank of India hereby makes the following amendments to the Foreign Exchange Management (Mode of Payment and Reporting of Non-Debt Instruments) Regulations, 2019 [Notification No. FEMA.395/2019-RB dated October 17, 2019] (hereinafter referred to as ‘the Principal Regulations) namely:-

  1. Short Title & Commencement.– (1) These Regulations may be called the Foreign Exchange Management (Mode of Payment and Reporting of Non-Debt Instruments) (Third Amendment) Regulations, 2025.

To read more:

https://www.rbi.org.in/Scripts/NotificationUser.aspx?Id=12768&Mode=0

Prevention of financial frauds perpetrated using voice calls and SMS – Regulatory prescriptions and Institutional Safeguards

The proliferation of digital transactions, while offering convenience and efficiency, has also led to a surge in frauds, a pressing concern underscoring the need for concerted action. The mobile number of a customer has emerged as a ubiquitous identifier, instrumental in account authentication and verification process, receiving sensitive payment communication, such as OTPs, transaction alerts, account updates, etc. The mobile number, however, can also be misused by scamsters in multiple ways for committing various types of online and other frauds.

To read more:

https://www.rbi.org.in/Scripts/NotificationUser.aspx?Id=12770&Mode=0

 

Related Services: Transaction and Regulatory Advisory Services