wordpress blog stats
Connect with us

Hi, what are you looking for?

,

NASDAQ sends Ebix letter of non-compliance for regulatory filings

Ebix Inc. has received a notice from US-based stock exchange NASDAQ about the company’s failure to file its Annual Report for on Form 10K for 2020. Ebix is a software company that supplies insurance, financial, health and e-learning business with software and e-commerce services. The stock exchange has told the company that it has 45 days, until April 16, to submit a plan to meet regulatory compliance. Ebix said it intends to file the plan by the given deadline.

Ebix said that the resignation of its public auditor RSM last month made it “impossible” for the company to file its annual report on time. Now, the company has retained KG Somani & Co. as its independent registered public acounting form to audit its 2020 statements. Ebix said it will work with the firm to complete its SEC filings as soon as “reasonably practical” and is targeting submission of this filing by April 20.

RSM had resigned in February as a “result of being unable, despite repeated inquiries, to obtain sufficient appropriate audit evidence that would allow it to evaluate the business purpose of significant unusual transactions [in Ebix’s gift cards business] that occurred in the fourth quarter of 2020”. The accounting firm had also identified a “material weakness” related to Ebix’s failure to design and implement controls “over the gift or prepaid card revenue transaction cycle sufficient to prevent or detect a material misstatement”. The company and the auditor also disagreed over the accounting treatment of $30 million that had been transferred to a trust account of Ebix’s outside counsel in December 2020.

The gift cards business of EbixCash has been a huge growth driver for Ebix, showing a 95% quarterly growth in Q3FY21.

In February, the company had said it is targeting an IPO for its India subsidiary EbixCash towards the end of 2021. In June 2020,Yatra terminated a pending merger agreement with the company and filed a suit seeking “substantial damages” for Ebix’s alleged breach of deal terms.

Advertisement. Scroll to continue reading.

Read more

Written By

I cover health, policy issues such as intermediary liability, data governance, internet shutdowns, and more. Hit me up for tips.

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

Views

News

India and US come to terms on how to deal with the equalisation levy in light of the impending Global Tax Deal.

News

Find out how people’s health data is understood to have value and who can benefit from that value.

News

The US and other countries' retreat from a laissez-faire approach to regulating markets presents India with a rare opportunity.

News

When news that Walmart would soon accept cryptocurrency turned out to be fake, it also became a teachable moment.

News

The DSCI's guidelines are patient-centric and act as a data privacy roadmap for healthcare service providers.

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

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...

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...

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