SEBI Extends Deadline for Industry Standards on Related Party Transactions

SEBI has extended the deadline for compliance with industry standards concerning related party transactions. Originally set to take effect from April 2025, the new deadline is July 2025. This extension follows feedback from stakeholders, with the Industry Standards Forum working to simplify the standards.

The Securities and Exchange Board of India (SEBI) announced on Friday that it has extended the deadline for listed entities to comply with new industry standards. Organizations will now have until July 1, 2025, to adopt the rules initially slated for April 1, 2025.

The decision followed input from various stakeholders who requested more time to implement the standards. SEBI revealed in a circular that the effective date of compliance has been postponed based on this feedback.

The Industry Standards Forum, featuring representatives from ASSOCHAM, CII, and FICCI, will address the concerns and work towards simplifying the rules. The forum aims to release revised guidelines in a timely manner. This move is intended to facilitate adherence to a uniform approach across listed entities seeking approval for related party transactions.

(With inputs from agencies.)