SEBI's 2026 rules separate settlement payments from wrongful gains
SEBI just rolled out fresh settlement regulations for 2026, making it much clearer what applicants owe if they want to settle cases.
The big update? Settlement payments are now separate from returning any wrongful gains, so applicants have greater clarity at the outset as to the likely financial implication of settlement.
SEBI sets rates 20% 40% 60%
The new rules use a straightforward formula to figure out how much you pay, with rates set at 20% for voluntary applications, 40% before a show-cause notice, and 60% after one is issued.
There's also a strict 60-day window for early settlements and an extra 20% fee if you reapply at the same stage.
As Tushar Kumar, Advocate at the Supreme Court of India, puts it, these changes help people understand their financial exposure right from the start, making the whole process more predictable and less stressful.