What SEBI has mandated as per corporate governance changes



SEBI has mandated as per corporate governance changes
1 Compulsory Whistle-blower mechanism in each company
2 No Stock options for independent directors
3 Separate meetings of independent directors
4 Setting up of stakeholders' relationship committee
5 Enhanced disclosure of remuneration policies
6 System to evaluate performance of all directors
7 Prior approval of audit committee for all party transactions
8 Shareholders special resolution from material related transactions
9 At least one woman director on the board of every listed company



In addition, 


In addition, Sebi made regulations for related-party transactions stricter. It
said that companies should seek prior approval of the audit committee for all
material related-party transactions. Besides, they should also seek the nod
of shareholders for all material related-party transactions through a vote on a
special resolution in which all the related parties should not participate.
Sebi also mandated that all companies should have nomination and
remuneration committees, with the chiefs of such committees being
independent directors on the board of the companies.
"The amendments propose to align the provisions of Listing Agreement with
the provisions of the newly enacted Companies Act, 2013 and also provide
additional requirements to strengthen the corporate governance framework
for listed companies in India," Sebi said.

Editor: sonia singh Added on: 2019-06-13 23:21:30 Total View:398







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