In a recent development, the Securities and Exchange Board of India (SEBI) has decided to extend the timeline for the verification of market rumors by listed entities. Sebi has mandated the top 100 listed entities by market capitalization, and subsequently the top 250, to verify and respond to market rumors within specified timelines.
SEBI had earlier issued circular on September 30, 2023, making this provision applicable to the top 100 listed entities from February 1, 2024, and to the top 250 listed entities from August 1, 2024.
However, considering that industry standards are still being finalized and certain amendments to the LODR Regulations are needed for effective implementation, SEBI has now extended the timeline. The new effective date for the top 100 listed entities is June 1, 2024, and for the top 250 listed entities, it is December 1, 2024.
