Sebi to consider scrapping one-year exit clause for VCFs
New Delhi: Sebi has decided to do away with the mandatory exit norm for divesting shares of listed companies within one year for tax benefits. Speaking at a FICCI seminar on VCFs, Mr. D R Mehta, Sebi chairman has said that SEBI will delete the current one-year exit norm for VCFs, which can now hold the shares of listed companies for more than one year.

The governing board of Sebi is meeting on December 27 to take up the issue. Sebi is also considering changes in listing norms to allow non-technology companies to offload only 10 per cent if the size of the issue is a minimum Rs 250 crore, as against the present mandatory norm of 25 per cent divestment.

At present, only technology companies are allowed to divest 10 per cent stake. This move is expected to benefit companies, having a prospective high m-cap, to raise funds from the capital market by divesting a smaller 10 per cent stake rather than offload 25 per cent and witness decline in share values.
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RBI asked to hike Esop limits of Indians in MNCs
New Delhi: The Securities and Exchange Board of India (Sebi) has asked the Reserve Bank of India to raise the amount of employee stock option for Indians working in foreign companies from 10,000 dollars to one lakh dollars annually.

The proposal forms part of the recommendations of the K B Chandrashekhar committee, which Sebi had appointed a few years ago to examine the issue. The move is going to benefit specially software professionals working abroad. The proposal also covers foreign employees of Indian companies operating in other parts of the country.
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