The Securities and Exchange Board of India (SEBI) has relaxed lending disclosure norms for foreign institutional investors (FIIs), allowing them to disclose information on a weekly instead of the current daily basis starting from 2 July 2010.
It said that the information on Indian securities lent by them to overseas entities, for the purpose of short selling, will have to be submitted on every Friday. SEBI will make it public the following Tuesday. According to the SEBI circular, the first such report will be submitted to SEBI on 9 Julyand it will be made public on 13 July.
The current guidelines, FIIs have to submit reports to the markets regulator on a daily basis and the details are made public by SEBI on Tuesdays and Fridays. Participatory Notes-issuing FIIs are required to submit details regarding “any fresh short positions” to SEBI immediately, the circular said.
