Speak now

1. The framework for issuance of Depository Receipts (‘DRs’) by a Listed Company was notified by SEBI vide Circular dated October 10, 2019. 2. The said Circular, at Para 2.19 to 2.21, inter-alia, provided the obligations of Indian Depository and Domestic Custodian, whereby, Indian Depositories were required to develop a system to monitor the foreign holding, including that held by way of DRs, as per the limits prescribed under the Foreign Exchange Management Act, 1999 and applicable SEBI Regulations, and disseminate the information regarding outstanding DRs and available limit for conversion. For this purpose, the Circular provided that Indian Depositories shall have necessary arrangement with the Domestic Custodian and / or Foreign Depository.