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SEBI Declares: Family Agreement Disclosures Won’t Trigger Liability for Listed Companies
SEBI Declares: Family Agreement Disclosures Won’t Trigger Liability for Listed Companies
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Regulatory clarity hits corporate governance—SEBI just drew a bright line between disclosure and liability.
No More Legal Dominoes
Public companies can finally breathe easier about family arrangements. The securities watchdog confirms mere disclosure doesn't automatically create legal exposure—even when agreements involve controlling shareholders.
Corporate Transparency Without Consequences
SEBI's stance removes the chilling effect that kept sensitive family pacts in the shadows. Now boards can prioritize transparency without fearing regulatory backlash—a rare win for both compliance officers and governance advocates.
Because nothing says 'modern finance' like needing regulatory permission to be transparent about family drama.
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