Escrow account

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..... ulation (2). (2) The escrow amount shall be payable in the following manner,- (i) if the consideration payable does not exceed ₹ 100 crores - 25 per cent of the consideration payable; (ii) if the consideration payable exceeds ₹ 100 crores - 25 per cent upto ₹ 100 crores and 10 per cent thereafter. (3) The escrow account referred in sub-regulation (1) shall consist of, .....

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..... the escrow account consists of securities, empower the merchant banker to realise the value of such escrow account by sale or otherwise and if there is any deficit on realisation of the value of the securities, the merchant banker shall be liable to make good any such deficit. (7) In case the escrow account consists of bank guarantee or approved securities, these shall not be returned by the m .....

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..... unt either in full or in part. (11) The amount forfeited under sub-regulation (10) may be distributed pro rata amongst the 3 [security-holders] who accepted the offer and balance, if any, shall be utilised for investor protection. ******* 1 Substituted for the word shareholders by the SEBI (Buy-back of Securities) (Amendment) Regulations, 1999, w.e.f. 21-09-1999. 2 Substitute .....

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