Page 9 – Vaish Associates Advocates

SEBI (Alternative Investment Funds) (Fifth Amendment) Regulations, 2024 – Notified

Securities and Exchange Board of India (“SEBI”), vide its notification dated November 18, 2024, has notified the SEBI (Alternative Investment Funds) (Fifth Amendment) Regulations, 2024 (“AIF Amendment Regulations”), thereby amending SEBI (Alternative Investment Funds) Regulations, 2012.

The key amendments are:

Pro rata right to investors – The investors of a scheme of an Alternative Investment Fund (“AIF”) shall have rights, pro-rata to their commitment to the scheme, in each investment of the scheme and in the distribution of proceeds of such investment, except as may be specified by SEBI from time to time. However, the rights of the investors of schemes of AIF issued prior to the notification of AIF Amendment Regulations which are not pro-rata to their commitment to the scheme and not exempted by SEBI, shall be dealt with in the manner specified by SEBI. However, this shall not apply to angel funds.
Differential rights to investors – The rights of investors of a scheme of an AIF shall be pari passu in all aspects other than the rights of the investors which are pro rata to their commitment to the scheme of AIF. SEBI has exempted Large Value Fund for Accredited Investors in this regard.
However, differential rights may be offered to select investors of a scheme of an AIF, without affecting the interest of other investors of the scheme, in the manner as may be specified by SEBI.

Further, any differential right already issued by an AIF prior to the notification of AIF Amendment Regulations, shall be dealt with in the manner as specified by SEBI.

To read the AIF Amendment Regulations click here

For any clarification, please write to:

Mr. Yatin Narang
Partner
[email protected]

Legalaxy | Monthly Newsletter Series – Vol XVIII – November, 2024

In the November edition of our monthly newsletter “Legalaxy”, our team analyses some of the key developments in securities market, banking and finance, corporate affairs, labour and employment, environment and consumer affairs.

Below are the key highlights of the newsletter:

SEBI UPDATES

SEBI notifies specific due diligence requirements of investors and investments of AIFs
SEBI notifies liquidity window facility for the listed debt securities
Extension of relaxation under the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015
SEBI modifies compliance and reporting requirement for non-individual investment advisers

RBI & IFSC UPDATES

RBI revises guidelines regarding submission of information to credit information companies by ARCs
Implementation of credit information reporting mechanism subsequent to cancellation of licence or certificate of registration
RBI issues guidelines for compounding of contraventions under FEMA
RBI issues notification for due diligence in relation to non-resident guarantees availed by residents
IFSCA issues directions for operations of the foreign currency accounts of Indian resident individuals opened under the liberalised remittance scheme
IFSCA (Payment and Settlement Systems) Regulations – Notified

OTHER UPDATES

Advertisers required to refrain from engaging in greenwashing and misleading environmental claims
Exemption to IT and ITES establishments in Uttar Pradesh
MCA clarifies the applicability of the e-adjudication rules to pending proceedings
Biological Diversity Rules, 2024 – Notified

We hope you like our publication. We look forward to your suggestions.

Please feel free to contact us at [email protected]

TaxBuzz | Selection and Application of Most Appropriate Method

We are pleased to share with you a copy of our in-house publication – “TaxBuzz”.

In this edition, we have analysed the recent judgment in the case of Sabic India Pvt. Ltd, wherein the Delhi High Court has emphasized the importance of principle of consistency in matters relating to selection of the most appropriate method for the purpose of computation of arm’s length price under section 92 of the Income-tax Act, 1961.

Pertinent findings have also been recorded by the High Court on applicability of Other Method as provided under Rule 10AB of the Income Tax Rules, 1962.

We trust that you will find our TaxBuzz useful and look forward to receiving your valuable feedback.

For any further information/ clarification, please feel free to write to:

Mr. Ramit Katyal,
Executive Director
[email protected]

Mr. Aditya Vohra
Associate Partner
[email protected]

Customs and GST Alert – Vol. 1 – Issue 11 – October 2024

We are pleased to share with you the link to our bi-monthly newsletter on the latest GST and Customs Developments. The newsletter covers recent judgments and regulatory updates in the GST and Customs space in India.

We trust that you will find the same useful.

Looking forward to receiving your valuable feedback.

For any clarification, please write to:

Mr. Shammi Kapoor
Senior Partner
[email protected]

Mr. Arnab Roy
Associate Partner
[email protected]

Customs and GST Alert – Vol. 1 – Issue 10 – October 2024

We trust that you will find the same useful.

Looking forward to receiving your valuable feedback.

For any clarification, please write to:

Mr. Shammi Kapoor
Senior Partner
[email protected]

Mr. Arnab Roy
Associate Partner
[email protected]

Legalaxy | Monthly Newsletter Series – Vol XVII – October, 2024

In the October edition of our monthly newsletter “Legalaxy”, our team analyses some of the key developments in securities market, banking and finance, corporate affairs, labour and employment, environment, telecommunications and pharmaceuticals.

Below are the key highlights of the newsletter:

SEBI UPDATES

SEBI (Foreign Venture Capital Investor) Regulations, 2000 – Amended
SEBI modifies valuation framework of investment portfolio of AIFs
SEBI (Delisting of Equity Shares) (Amendment) Regulations, 2024 – Notified
SEBI (Infrastructure Investment Trusts) (Third Amendment) Regulations, 2024 – Notified
SEBI (Real Estate Investment Trusts) (Third Amendment) Regulations, 2024 – Notified

RBI UPDATES

Ministry of Finance notifies new compounding rules

CORPORATE UPDATES

MCA tweaks inbound reverse merger rules under the Companies Act
NaBFID is now a public financial institution under the Companies Act

LABOUR UPDATES

Platform aggregators invited to ‘on-board’ themselves and their platform workers on e-Shram portal
Cine and cultural activists to now have social security in Karnataka
Central Government increases the minimum wage rates for workers by revising the variable dearness allowance

ENVIRONMENTAL UPDATES

Ecomark Rules, 2024 – Notified
CPCB issues guidelines for imposition of environment compensation
Environment (Protection) Second Amendment Rules, 2024 – Notified
Van (Sanrakshan Evam Samvardhan) Rules, 2023 – Amended

OTHER UPDATES

Reforms introduced for the clinical research organisations for conducting clinical trial
Rules for obtaining right of way permissions for telecommunication network
Ministry of Law and Justice brings into force the Advocates Amendment Act, 2023

We hope you like our publication. We look forward to your suggestions.

Please feel free to contact us at [email protected]