Defaults by listed firms won’t remain secret from October 1, 2017. The Securities and Exchange Board of India (Sebi) has asked listed companies to disclose details on defaults of loan payment from banks and other financial intuitions to the public within one working day. The Sebi directive to disclose loan defaults runs contrary to the position of banking regulator, Reserve Bank of India, which has been refusing to name the defaulters. The RBI has refused to make public the list of loan defaulters with public banks despite a Supreme Court order to make this information public. The Sebi had recently asked listed banks to make disclosures if provisioning and NPAs assessed by the RBI exceeded 15 per cent of published financials.

Source: Indian Express August 04, 2017 21:00 UTC