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TMI BlogDespatch of allotment letters/certificates and refund orders to applicants in public issue of share capital ‑ Instructions to check delaysX X X X Extracts X X X X X X X X Extracts X X X X ..... 6, provides a maximum time limit of 10 weeks for this purpose. 2. Complaints from investors relating to delays in making allotments and sending refund orders continue to come despite efforts made in the past to ensure that this work is done expeditiously. With a view to ensuring proper compliance with the requirement of timely allotment/refund, Government have incorporated some new conditions in the conditions attached to the consent orders for public issue of capital. A copy of the conditions as also of the relevant Press Note are published hereunder for your reference. 3. It is felt that the stock exchanges have a crucial role to play in this regard. Although several agencies are involved in the collection, processing, handling an ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... be substantial on the basis of the Exchange s assessment, and on a post facto basis where there are complaints relating to non‑receipt of allotment letters/refund orders. Exchanges should also carry out random and surprise checks by themselves or in co‑ordination with the local Registrars of Companies and postal authorities to check that there is no discrepancy between the date placed on the letters and the dates on which these are despatched. 6. With a view to safeguarding the interest of the investing public complaints of delay/non‑receipt should be investigated expeditiously and the outcome made known to the complainants. Reports should also be sent to the Registrars of Companies and the Stock Exchange Division of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ent shall be endorsed to the office of the CCI quoting this consent order and date. (iv) Non‑compliance of conditions above shall be punishable by the Stock Exchange, in addition to the action that may be taken by other competent authorities. 2. The above condition is introduced with a view to ensuring that the companies process the applications of the investing public and despatch the allotment letters/certificates and refund orders expeditiously and take action within the stipulated time-limit. 3. Any company applying to the CCI for grant of consent for issue of securities shall also publicise a nodal authority in the company, who shall oversee arrangements for processing the applications, despatch of allotment lette ..... X X X X Extracts X X X X X X X X Extracts X X X X
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