Banking and Finance

In its recent decision in the matter of Dilip B. Jiwrajka v. Union of India & Ors [2023 SCC OnLine SC 1530], a three judge bench of the Hon’ble Supreme Court dismissed a batch of 384 writ petitions filed under Article 32 of the Constitution assailing the constitutionality of Sections 95, 96, 97, 99 and 100 of the Insolvency and Bankruptcy Code, 2016 (“IBC”) pertaining to initiation of insolvency proceedings against individuals and partnership firms codified in Part III of the IBC.

On 31 October 2023, the Reserve Bank of India (RBI) issued the circular on ‘Regulation of Payment Aggregator – Cross Border (PA – Cross Border)’ (PA – CB Directions) addressed to all payment system providers and payment system participants. This follows the draft circular on ‘Processing and settlement of small value Export and Import related payments facilitated by ‘Online Export-Import Facilitators (OEIF) (erstwhile OPGSP)’ issued by the RBI on 7 April 2022 (Draft OEIF Directions).

The Reserve Bank of India has published the Master Direction – Reserve Bank of India (Non-Banking Financial Company – Scale Based Regulation) Directions, 2023 (Master Directions), on 19 October 2023. The Master Directions bring about long-awaited harmonisation of the erstwhile regulatory regime with Scale Based Regulation Framework for NBFCs, published by the RBI on 22 October 2021 and made effective from 1 October 2022.

The Securities and Exchange Board of India (SEBI) vide its notification dated 19 September 2023 has inserted regulation 62A to the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 (SEBI LODR Regulations), hereinafter referred to as the “Amendment”.

Undoubtedly, we are in the age of social media, where a significant amount of information acquisition takes place through the consumption of influencer-generated media content.

A three-judge Bench of the Supreme Court recently interpreted the amended provisions of the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest, 2002 (SARFAESI Act) regarding a borrower’s right of redemption during an auction sale process in Celir LLP v Bafna Motors, 2023 SCC OnLine SC 1209.

The Insolvency and Bankruptcy Board of India (IBBI) on 18 September 2023 notified the Insolvency and Bankruptcy Board of India (Insolvency Resolution Process for Corporate Persons) (Second Amendment) Regulations, 2023 (CIRP Amendment Regulations) amending the Insolvency and Bankruptcy Board of India (Insolvency Resolution Process for Corporate Persons) Regulations, 2016 (CIRP Regulations).

In a move to streamline the framework dealing with the issuance and listing of non-convertible securities (NCS), the Securities and Exchange Board of India (SEBI) had consolidated various circulars pertaining to disclosure requirements and various procedures and obligations in relation to the debenture trustees (DT) into a single operational circular dated 31 March 2023

The Reserve Bank of India (RBI) through its directive dated 4 September 2023 (Directive) allowed pre-sanctioned credit line of a bank to be used as a funding account for enabling payments through the Unified Payments Interface (UPI). The existing funding accounts in UPI ecosystem are savings and overdraft accounts, prepaid payment instruments and RuPay credit cards.

The buzz word ‘finfluencers’ has reportedly been making the rounds in the hallways of Securities and Exchange Board of India (SEBI) since early 2022.