Markets regulator SEBI on Thursday gave listed companies in India an extension of 45 days to file fourth quarter financial results and one-month extension to file results for the financial year of 2019-20.
It has also given companies a relaxation of one month for filing quarterly corporate governance report. It has also extended the deadline to submit quarterly statement of Investor complaints by approximately three weeks. Filing of quarterly shareholding pattern too has been extended for approximately three weeks, SEBI said in a circular.
The decision has been taken in the wake of coronavirus pandemic, which has resulted in many restrictions, including free movement of people, thereby hampering businesses and day-to-day functioning of companies.
“Considering the COVID-19 pandemic, SEBI vide Circular dated March 19, 2020 has decided to grant temporary relaxations from certain compliance stipulations specified under the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 (‘LODR’) to listed entities w.r.t. the quarter / financial year ending March 31, 2020,” SEBI said in a release.
Development arising due to the spread of the virus warrants the need for temporary relaxation in compliance requirement of listed entities, the Securities and Exchange Board of India noted.
“The CoVID 19 virus has hit populations around the world and has restricted free movement of people, thereby hampering businesses and day to day functioning of companies. It has been declared a ‘pandemic’ by the World Health Organization (WHO). Developments arising due to the spread of the virus have warranted the need for temporary relaxations in compliance requirements for listed entities,” it said in a statement.
Several companies in India have implemented work from home for its employees, while in some cases companies are calling them in only in batches. With COVID-19 spread fast across the globe, business across sectors have been severely impacted. Restaurants across the country are voluntarily shutting down to contain the spread. Meanwhile, airlines have been hit badly as countries implement travel restrictions and people themselves choosing not to travel.