Tag: rules

  • SEBI Proposes Major RPT Rule Changes for Big Corporates to Ease Compliance Burden

    With a renewed emphasis on making it easier for big businesses to conduct business, the Securities and Exchange Board of India (SEBI) on 7 August recommended significant modifications to its related party transaction (RPT) system.

    A substantial revision of materiality requirements is suggested in the capital markets regulator’s consultation paper, which could reduce compliance barriers for the country’s leading listed companies by about 60%.

    Why SEBI’s Proposed RPT Changes Matter for Big Firms?

    A “scale-based threshold mechanism” is outlined in the consultation document, which is open for public comment, to decide whether RPTs are deemed material and need to be presented to shareholders for approval. For any RPT above INR 1,000 crore, or 10% of their yearly consolidated turnover, whichever is less, listed businesses are currently required to obtain shareholder approval.

    SEBI pointed out that this was burdensome for listed organisations with high turnover because it made big businesses designate a lot of large transactions that weren’t really significant as material, which resulted in a lot of paperwork.

    How the New Scale-Based Threshold System Works

    SEBI has suggested using a scale-based method in place of the “one-size-fits-all” strategy in order to address this. 10% of yearly consolidated turnover is still the barrier for businesses with a turnover of up to INR 20,000 crore. The barrier, however, is INR 2,000 crore + 5% of turnover exceeding INR 20,000 crore for enterprises with a turnover of INR 20,001–40,000 crore.

    Additionally, a threshold of INR 3,000 crore + 2.5% of turnover beyond INR 40,000 crore, up to a maximum of INR 5,000 crore, applies to enterprises with a turnover of more than INR 40,000 crore.

    According to SEBI, the scale-based threshold approach would guarantee that the threshold for materiality rises in tandem with the company’s turnover, resulting in a suitable number of related party transactions being classified as material and lowering the burden of compliance for listed entities.

    Impact: 60% Reduction in Material RPT Approvals

    When SEBI tested the new limits using recent data, it discovered that there were almost 60% fewer substantial RPTs that needed shareholder approval. SEBI addressed subsidiary transactions as well, suggesting that transactions exceeding INR 1 crore need audit committee clearance if they surpass either the new scale-based threshold for the parent company or 10% of the subsidiary’s turnover, “whichever is lower”.

    What This Means for Listed Companies and Subsidiaries

    10% of net worth or the parent company’s criteria would be used as a comparator for subsidiaries without full-year financials.” Noting that the INR 1 crore exemption from full disclosure requirements is a “minuscule amount for listed entities having high turnover,” Sebi suggested that smaller RPTs only have to give the Audit Committee or shareholders the bare minimum of information, up to 1% of turnover or INR 10 crore, whichever is less.

    SEBI Consultation Paper: Key Dates and Deadlines

    The consultation document aims to formally state that omnibus RPTs passed at an AGM will remain in effect for a maximum of 15 months, until the next AGM. The approval is good for another year for other shareholder meetings. It was suggested that directors or other key management staff of a listed company or its subsidiary (or their family members) would be the only ones eligible for exemptions from retail purchases.

    Additionally, it made clear that listed holding companies are the only ones eligible for exemptions from transactions between holding companies and subsidiaries. SEBI has set a deadline of August 25, 2025, for public feedback on these suggestions. The difficulty, according to legal experts, will be striking a balance between efficiency and adequate rigour, making sure that the compliance reset doesn’t weaken minority rights or create new opportunities for related party dealings to be opaque.

  • 9 Office Rules That Are Hated by Everyone

    Rules are a part of our life, we are expected to follow them everywhere. From schools to our office, every organisation have a set of rules that one associated with them has to follow.

    Office rules are a set of written rules for employees to be professional and polite person. While office rules depend on the company, generally, some office rules are made to allow employees to correct their behaviour in the office. These office rules affect everyone.

    In this article, we will talk about the rules that one needs to follow in office but doesn’t like. So, let’s get started.

    Attendance Policy
    Restricting the Internet Policy
    Time Policy
    Bathroom Policy
    Counting With Miles Policy
    Overtime Policy
    Rigid Ranking Policy
    Banning Cell Phones Policy
    Dress Code Policy

    Attendance Policy

    Attendance is a significant part in any organization. It is basically the record of how many days you have been in the office at the proper time and how many days you were late for the office. It also determines the day that you have come to the office. All these records are saved in any kind of tool for attendance that particularly depends on the organization.

    The company expects the employees to do the first thing after coming to the office is putting their attendance in the log of the office. However, those who want to cheat with the attendance log can, and the organization should use other tools for keeping a record of attendance.

    Restricting the Internet Policy

    There is no doubt that the internet has become a very necessary part in our life and on in any organization, it is much more important. Giving employees access to the web, however, is not a very trustable thing.

    Instead of working at their office,  employees will tend to pass their time by doing other activities and neglecting their office work. To make sure that the employees are working and not doing other things, companies restrict the use of internet for the employees in the office. However, just because one person at the office spent time watching other stuff rather than writing important mails does not mean that the other employees should get punished for this. The company should allow the responsible employees to use the internet in break time, as long as work does not suffer. Besides, these rules are preventing employees from doing research and using the internet as a useful tool.

    Time Policy

    It is being asked by the employees, “ what were you doing all day?” and it’s a very humiliating question for most and no one wants to answer this especially when they have to work all day in the office. Though the toughest challenge faced by a company’s management is to keep records of work and time spent by the employees.

    As un-tracked work hours could be costing massive losses that business incurs daily across the world. However, keeping a record of every employee can be difficult for any organization. A company manager is always concerned about the lost time and that’s natural because that directly impacts the company’s growth. Although the employees working daily don’t like to be questioned in turn. Trust is essential for successful cooperation in the organization. A company manager should trust their employees.

    Bathroom Policy

    Some organizations have a policy of how many times a person can use the bathroom in the office. Managers should not add these kinds of policies to the office. When an employee has to go, an employee has to go. Unless that employee is not abusing bathroom rights and spending unnecessary time without completing their work.

    A Chicago-based firm, a call centre in Scotland, Amazon have this policy which is criticised by employees as well as people around them.

    While there is a clear public policy of allowing employees access to bathrooms, it does not support that employees may leave their tasks at any time without responsibly completing them. Seriously, limiting people’s trips to the bathroom is only going to give them serious health problems.

    Counting With Miles Policy

    Some companies have the policy that any employee going on a work trip from the company side, they have to give a record of how many miles they have travelled. This policy is a bit unnecessary if the employee is going on their own expenses. There’s no need for keeping a record of how many miles the employee travelled.

    Employees generally hate to do this because there should be trust between the company and the employee and the employee feels like the company does not trust them. Plus if the company should not send an employee if they feel thr employee is not that trustworthy.

    Overtime Policy

    Overtime is the period in which an employee has to work more than their working hours. Under the overtime rules and policies defining work hours, an employee should work 8-9 hours per day in India which equals a total of 48-50 hours a week. The company sometimes offers employees more work to do as overtime and also the company pays for it. Employees do not like to do overtime but they have to fulfil the company’s requirements.

    Rigid Ranking Policy

    We live in a world where benchmarks and rankings are set to judge the performance of a person. When rankings are used at the office for praising employees’ performance, many managers think that doing this can inspire them to become more competitive. This will help them in working hard to catch up more.

    Although in reality, the opposite happens, employees become demotivated. People who ranked highly will always think that they are already in the highest position, and are the best. While people who are ranked too low can become depressed about their work and might give up.

    Companies like IBM, Amazon, and Facebook use this policy to rank their employees.

    Giving feedback is another thing but comparing employees to other employees is not good for the company’s growth. Companies can compare the individual performance of an employee and that will help them in growing their confidence.

    Banning Cell Phones Policy

    The use of cell phones at the office can cause extended personal interaction during working hours. The banning of cell phones is used to protect company secrets. Cell phones cause various kinds of distractions in offices while people are working.

    Employees talking on their cell phones, sharing pictures and videos, and loud ringtones are annoying factors that result in banning cell phones at the office. So companies follow this policy. However. banning cell phones will always result in employees finding other ways to use them. Some may have legitimate reasons to use their cell phones which may affect the employee’s ability to work. Anyone who uses their cell phones just to avoid doing work will find another way of using a cell phone or wasting time.

    Companies like Concentrix, Genpact, American Express, Accenture and Fidelity have the No Cellphone Policy in their offices.

    Companies just need rules to protect their privacy. So they should allow cell phones during break time. So that in an emergency, employees would be able to use them.

    Dress Code Policy

    The debate over whether or not companies should have a dress code policy or not is going on for a long time. Some organizations believe it’s essential that their employees should have certain standards regarding the way they dress up at the office. This is mandatory when employees have to attend face-to-face interactions with the clients on a daily basis.

    While many employees don’t mind following the dress code, others feel that as adults, they are more than capable of deciding how to be at the office without having a formal dress code.

    Companies like Wipro, Wells Fargo, and JPMorgan Chase have a strict dress code. Wipro and JPMorgan Chase allow their employees to wear casual clothes on Friday.

    If the company is deciding to implement a formal dress code in the office, the company should try to get a balance between guidelines that give the employees the need for comfort and style and also a policy that requires them to dress in a way that reflects the values of the company. If the dress code is implemented in the right way, employees will have no reason to oppose it.

    Conclusion

    Employees should be trusted at the office by the manager. Employees are all adults who should not be treated like under-performed employees by the company. Just because of the mistake of a few employees, not everyone should be punished.

  • Why Did the Indian Government Ban 22 YouTube News Channels?

    YouTube has become a daily part of our life, for most of us, it is the main form of entertainment videos. Apart from the entertainment it also provides information and news, food recipes, and educational videos. You name it and the video-sharing platform has it.

    In a span of a few years, YouTube has become a big industry itself. It has become a platform where people can share their talents and can get noticed by the entire world. It is a global platform where one can share any kind of video; it is the second-largest search engine in the world and there is hardly anything that one cannot find on this platform.

    This platform enables you an option to communicate with a large audience, people have made it a business, and are earning through it by sharing information, providing entertainment, and sharing their talent and lifestyle.

    Through YouTube, many people are getting jobs and have a stable income now because of the content they are providing the world with. It has also given the power to people to provide information and news to the world, but with ‘great power comes great responsibility. Recently the Indian Government has banned 22 YouTube Channels. In this article, we will talk about the reason for the ban and how other YouTube channels can avoid this situation.

    “The joy of YouTube is that you can create content about anything you feel passionate about, however silly the subject matter.” -Zoe Sugg

    Government Banned YouTube Channels
    List of YouTube Channels Banned by the Indian Government
    Why These YouTube Channels Are Banned?
    How to Not Get Your YouTube Channel Blocked by the Government?

    Government Banned YouTube Channels

    Recently, 22 YouTube Channels were banned by the Indian Government. As per the new IT rules of 2021, it is the first time that YouTube Channels are blocked. Among these 22 YouTube Channels, 18 are Indian channels and 4 are from Pakistan.

    It is mainly done because these news channels were spreading fake news and disinformation, which can be a security concern for the country and disrupt the public order. All these happened after the new IT rules came into force. As per reports, these YouTube channels had over a billion viewers before they were blocked.

    List of YouTube Channels Banned by the Indian Government

    Some of the Indian YouTube Channels that are blocked are:

    • AOP News
    • ARP News
    • LDC News
    • SS ZONE Hindi
    • Smart News
    • Online Khabar
    • DP News
    • PKB News
    • KisanTak
    • Borana News
    • News23Hindi
    • Sarkari News Update
    • Bharat Mausam
    • RJ ZONE 6
    • Exam Report
    • Digi Gurukul

    The Pakistan based News Channels that are blocked by the Government are:

    • DuniyaMereAagy
    • Ghulam NabiMadni
    • HAQEEQAT TV
    • HAQEEQAT TV 2.0

    Why These YouTube Channels Are Banned?

    All the 22 channels were reportedly spreading misinformation regarding various topics, which include the Armed forces, Kashmir, Covid-19 and the recent Ukraine-Russia war.

    Screenshots of the YouTube Channels released by Indian Government
    Screenshots of the YouTube Channels released by Indian Government

    All these channels were using logos and distorted clips from other news channels and were merging them together and spreading disinformation amongst the public. These were done to gain views from the public. This was creating angst among the public and slowly becoming a national security concern.

    After new IT rules came into force, the Government got good control over the content posted on social media since then, they were blocking channels that are spreading fake information.

    How to Not Get Your YouTube Channel Blocked by the Government?

    It is a matter of concern for YouTubers as Governments is now stricter with their policies they are blocking channels that are being a ‘threat’ to the nation. So to avoid getting your channels blocked by the Government, you need to follow some rules and they are:

    • The first thing you need to do is avoid spreading disinformation and fake news to the public by showcasing distorted content in the name of creating content.
    • Be responsible while creating content, don’t just put it on the platform just for the sake of getting views. Remember, you’re responsible for the effect your content will create on people.
    • Do your research properly before making the content.
    • Check out authentic sources before indulging in creating content.
    • Re-check the facts and learn to differentiate between facts and opinion.

    Conclusion

    YouTube surely has given us an opportunity to showcase our talent on the global platform by making videos and through this, we can also have a stable income. Apart from this, we can create any type of content and it can blow if it is relatable to our audience. With the IT rules and the Government’s stricter policies, one needs to be more careful while creating any type of content. Especially if it is providing information to the public.

    FAQs

    Why did the Indian government ban YouTube news channels?

    The Indian government banned 22 youtube channels under IT Rules 2021 as the news channels were spreading fake news.

    Which are the YouTube channels that are banned?

    AOP News, ARP News, LDC News, SS ZONE Hindi, Smart News, Online Khabar, DP News, PKB News, KisanTak, Borana News, News23Hindi, Sarkari News Update, Bharat Mausam, RJ ZONE 6, Exam Report, Digi Gurukul, DuniyaMereAagy, Ghulam NabiMadni, HAQEEQAT TV, and HAQEEQAT TV 2.0 are some of the YouTube channels that are banned by the Indian government.