SEBI to regulate RTAs serving unlisted firms
SEBI has approved changes for registrar and share transfer agents (RTAs).
From now on, SEBI will regulate RTAs that handle listed companies, while the Ministry of Corporate Affairs (MCA) takes charge of those working with unlisted firms.
It's all about making things clearer and safer as the number of unlisted companies being served keeps growing.
New rules for RTAs
With RTAs serving nearly 35,000 unlisted companies alone, SEBI wants tighter controls to protect investors from fraud—think fake certificates or shady transfers.
RTAs handling both listed and unlisted work must now set up separate business units for each side and keep at least ₹50 lakh net worth handy, excluding the SBU.
Plus new rules like KYC checks and whistleblower systems are coming in to boost trust and transparency across the board.