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Corporate Laws Central Ministry of Finance Securities and Exchange Board of India Act, 1992

NSE-Reiteration of SEBI Circular on Relaxation from certain provisions for units allotted to an employee benefit trust for the purpose of a unit based employee benefit scheme, Alignment of timelines for making distribution by REITs and Format of Quarterly Report and Compliance Certificate - Real Estate Investment Trusts (REITs)

14-Nov-2024 | NSE/CML/2024/37

NSE has issued reiteration of SEBI circular regarding Relaxation from certain provisions for units allotted to an employee benefit trust for the purpose of a unit based employee benefit scheme, Alignment of timelines for making distribution by REITs and Format of Quarterly Report and Compliance Certificate - Real Estate Investment Trusts (REITs), effective from 14th November 2024.

Key highlights-
1. For promoting ease of doing business and for facilitating the acquisition of units by the employee benefit trust and the subsequent transfer of units to the employees as per the terms of the Unit Based Employee Benefit (UBEB) scheme, it is proposed that the lock-in and allotment related restrictions as mentioned in Paragraph 10.6 and 10.7 of SEBI Master Circular for Real Estate Investment Trusts (REITs), shall not apply to the employee benefit trust.
2. A new paragraph 10.6.4 regarding the non-applicability of Paragraph 10.6.2. and 10.6.3. in case of units allotted to an employee benefit trust for the purpose of a unit based employee benefits scheme, is inserted.
3. Clause A(1) of Part I of Annexure 14 of the Master Circular for REITs is modified.

Kindly refer to the attached circulars for more information.

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