wordpress blog stats
Connect with us

Hi, what are you looking for?

SEBI Makes Private Treaty Disclosures Mandatory; Who Will Enforce?

India's stock market regulator, the Securities & Exchange Board of India has taken up the issue of private treaty deals between media groups and companies preparing for an IPO. According to such deals - an example here, of Mobile VAS company Planet 41 - a company gives stake in return for "media coverage through advertisements, news reports, advertorials etc. in the print or electronic media". This results in a case of conflict of interest, and a dilution of the independence of press. SEBI believes that such "biased and motivated dissemination of information, guided by commercial considerations can potentially mislead investors in the securities market. Such journalism would not be in the interest of securities market." SEBI knows of the manipulation of stock prices using the media only too well, as in case of the Nirmal Kotecha-Pyramid Saimira issue. The stock exchange regulator has suggested the following guidelines to the Press Council of India: 1. Disclosures regarding stake held by the media company should be made in the news report/ article/ editorial in newspapers/television relating to the company in which the media group holds such stake. 2. Disclosure on percentage of stake held by media groups in various companies under such 'Private Treaties' on the website of media groups should be made. 3. Any other disclosures relating to such agreements such as any nominee of the media group on the Board of Directors of the company, any management control or other details which may be required to be disclosed and which…

Please subscribe/login to read the full story.
Written By

Founder @ MediaNama. TED Fellow. Asia21 Fellow @ Asia Society. Co-founder SaveTheInternet.in and Internet Freedom Foundation. Advisory board @ CyberBRICS

Free Reads

PhonePe

News

PhonePe explained that this collaboration with UAE’s Mashreq Bank was facilitated through Mashreq’s partnership with NPCI International Payments Limited (NIPL).

News

Bankman-Fried has also been ordered to forfeit $11 billion to repay the aggrieved customers of his crypto-exchange platform FTX.

Amazon

According to UOKiK, Amazon misled users into believing that placing an order or receiving an order confirmation was tantamount to a sales contract, which...

MediaNama’s mission is to help build a digital ecosystem which is open, fair, global and competitive.

Views

News

NPCI CEO Dilip Asbe recently said that what is not written in regulations is a no-go for fintech entities. But following this advice could...

News

Notably, Indus Appstore will allow app developers to use third-party billing systems for in-app billing without having to pay any commission to Indus, a...

News

The existing commission-based model, which companies like Uber and Ola have used for a long time and still stick to, has received criticism from...

News

Factors like Indus not charging developers any commission for in-app payments and antitrust orders issued by India's competition regulator against Google could contribute to...

News

Is open-sourcing of AI, and the use cases that come with it, a good starting point to discuss the responsibility and liability of AI?...

You May Also Like

News

Google has released a Google Travel Trends Report which states that branded budget hotel search queries grew 179% year over year (YOY) in India, in...

Advert

135 job openings in over 60 companies are listed at our free Digital and Mobile Job Board: If you’re looking for a job, or...

News

By Aroon Deep and Aditya Chunduru You’re reading it here first: Twitter has complied with government requests to censor 52 tweets that mostly criticised...

News

Rajesh Kumar* doesn’t have many enemies in life. But, Uber, for which he drives a cab everyday, is starting to look like one, he...

MediaNama is the premier source of information and analysis on Technology Policy in India. More about MediaNama, and contact information, here.

© 2008-2021 Mixed Bag Media Pvt. Ltd. Developed By PixelVJ

Subscribe to our daily newsletter
Name:*
Your email address:*
*
Please enter all required fields Click to hide
Correct invalid entries Click to hide

© 2008-2021 Mixed Bag Media Pvt. Ltd. Developed By PixelVJ