Relaxation to Insolvent Firms by SEBI

SEBI recently relaxed compliance requirements to comply with delisting norms for companies facing insolvency proceedings provided the resolution plan lays down the procedure for delisting that particular entity from the exchanges.

More than 750 entities, including many listed firms, are being charged of  insolvency proceedings.

In a notification, SEBI had stated that norms pertaining to delisting of equity shares would not be applicable to any entity that is getting delisted pursuant to a resolution plan approved under the IBC.