The weekly messenger | Edition 32.22

Accounting News

Ind AS: Disclosures Checklist (Revised November,2022) – November 2022

The Accounting Standards Board of the Institute of Chartered Accountants of India (ICAI) has issued the revised version of the Ind AS: Disclosure Checklist by the name of ‘Ind AS: Disclosure Checklist (Revised November 2022)’, thereby incorporating the various amendments been made to the Ind AS post issuance of the last edition of the aforesaid publication, including amendments like Covid-19-Related Rent Concessions; Definition of Material; Interest Rate Benchmark Reform – Phase 1 and 2 etc.

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Auditing News

NFRA issues Audit Quality Inspection Guidelines – 11 November 2022

As a step to improve the quality of the audit profession, the National Financial Reporting Authority (NFRA) has issued its audit quality inspection guidelines which are majorly based on the lines of the best practices followed by the International Audit Regulators.

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Regulatory News

SEBI (LODR) (Sixth Amendment) Regulations, 2022 – 14 November 2022

The Securities Exchange Board of India (SEBI) has issued the SEBI (Listing Obligations and Disclosure Requirements (LODR)) (Sixth Amendment) Regulations, 2022, wherein the following key amendments have been notified:

• Following provisos have been added in Regulation 25(2A) which states that appointment, re-appointment or  removal  of  an  independent  director  of  a  listed entity, shall be subject to the approval of shareholders by way of a special resolution:

“Provided that where a special resolution for the appointment of an independent director fails to get the requisite majority of votes but the votes cast in favour of the resolution exceed the votes cast against the resolution and the votes cast by the public shareholders in favour of  the  resolution  exceed  the  votes  cast  against the  resolution,  then  the  appointment  of such an independent director shall be deemed to have been made under sub-regulation (2A):

Provided further that an independent director appointed under the first proviso shall be removed only if the votes cast in favour of the resolution proposing the removal exceed the votes cast against the resolution and the votes cast by the public shareholders in favour of the resolution exceed the votes cast against the resolution.”

• In Regulation 32 which deals with Statement of deviation(s) or variation(s), the words “public or rights issue” have been substituted with the words “public issue or rights issue or preferential issue or qualified institutions placement”.

• In Regulation 52(1) ‘Financial Results’, the following proviso has been inserted:

“Provided that for the last quarter of the financial year, the listed entity shall submit un-audited  or  audited  quarterly  and  year  to  date  standalone  financial  results within sixty days from the end of the quarter to the recognised stock exchange(s)”.

• A new regulation i.e., Regulation 59A ‘Draft Scheme of Arrangement and Scheme of Arrangement’ has been inserted

These Regulations shall come into force w.e.f. 14 November 2022.

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Scheme(s) of Arrangement by entities who have listed their Non-convertible Debt securities (NCDs)/Non-convertible Redeemable Preference shares (NCRPS) – 17 November 2022

The SEBI has issued the operational guidelines w.r.t. ‘Scheme of Arrangement’ for those entities whose non-convertible debt securities or non-convertible redeemable preference shares are listed.

      
For more information, click here.