SEBI has recently launched a special campaign to alert the people, so that now a reward of Rs 20 lakh will be given to the person giving such information. Let’s know the whole news
Indian market regulator SEBI (SEBI) has brought a new reward system to encourage the public for the information of defaulters. According to the new scheme of the Securities and Exchange Board of India (SEBI), anyone sharing information about the assets of defaulters will get a monetary reward of up to Rs 20 lakh.
Explain that SEBI will give interim reward and final reward in two phases to the informers. As per the details shared, the informers will get an interim reward of 2.5 per cent of the reserve price of the asset or Rs 5 lakh, whichever is less.
The final reward will not be more than 10 percent of the property or Rs 20 lakh. SEBI has issued guidelines on the new reward system, which also includes how money will be paid for reliable information about the defaulter’s property. The identity or the informer and the reward received by him “shall be kept confidential”, SEBI said.
For an informant to be eligible for the award, a person needs to share basic information about the defaulter’s assets relating to dues certified as ‘difficult to recover’. Meanwhile, SEBI also released a list of 515 defaulters, about which people can give information. The reward will be paid through the Investor Protection and Education Fund.
An Informant Award Committee will be constituted by SEBI. This will include the Chief General Manager of the Department of Recovery and Refund, the concerned Recovery Officer having jurisdiction over the case, another Recovery Officer to be nominated by the Chief General Manager and an officer in the grade of Deputy General Manager or higher of the Office of Investor Assistance.
