Sebi mulls allowing only electronic mode for payment of dividend, interest

Markets regulator Sebi on Friday proposed that listed entities should make all payments, such as dividends, interests and redemptions, through electronic mode only. The proposal is aimed at streamlining payment processes and enhance security, convenience and efficiency for all investors.Current Sebi’s LODR (Listing Obligations and Disclosure Requirements) rules allows electronic payments but permits cheques or warrants if electronic transfers fail, especially for amounts over Rs 1,500. Markets regulator Sebi on Friday proposed that listed entities should make all payments, such as dividends, interests and redemptions, through electronic mode only. The proposal is aimed at streamlining payment processes and enhance security, convenience and efficiency for all investors.Current Sebi’s LODR (Listing Obligations and Disclosure Requirements) rules allows electronic payments but permits cheques or warrants if electronic transfers fail, especially for amounts over Rs 1,500.  Economic Times