Question

SEBI has made it Compulsory for share transactions to occur through

Answer 1

Answer:

fixed deposits account

Answer 2

SEBI

Explanation:

• The Securities and Exchange Board of India (Sebi) has made it essential for corporations to disclose the source of funds obtained through preferential allotment of shares, in an effort to discourage promoters from using front companies to grow their stake.

• The ruling intends to plug a gap in the Sebi's capital market rules and transparency duties, which are silent on the source of monies sent for the purpose Z of preferential issue subscription.
• In order to create an adequate audit trail and impose lock-in clauses, the Securities and Exchange Board of India (Sebi) made it essential to grant preference shares in materialised form.