The latest Sebi directive, seeks to increase transparency in the grievance redressal mechanism and improve the general functioning of the market by providing investors the wherewithal to make an informed choice.
“Depositories shall henceforth disclose the details of complaints lodged by beneficiary owners/ investors against depository participants in their website. The aforesaid disclosure shall also include details pertaining to arbitration and penal action the DPs,” said a Sebi circular.
Further, Sebi made it clear that depositories will have to make the disclosures on their website within one month from now onwards continuously and have to be updated every week.
Published 30 January 2010, 16:03 IST