SEBI TO REDUCE TIME LAG BETWEEN OPENING OF AN ISSUE AND LISTING

As per SEBI Chairman CB Bhave, fees payable by mutual funds, custodians and those who file offer documents has been cut by as much as 80% from April 1, 2008. It has also slashed the fee for offer documents for buy back of securities and the registration fee for venture capital funds. The fee for filing offer documents for public issue and mutual funds will be reduced from 0.03% of the amount raised to 0.005%. While the cap of fee for public offer is Rs. 3 crore, the same for mutual fund is Rs. 50 lakh. The annual registration fee for custodians has been slashed from 0.001% to 0.0005% of assets under custody. SEBI has also reduced the registration fee for venture capital funds from Rs.10 lakh to Rs. 5 lakh. The fee for rights issue offer documents has been slashed from 0.05% to 0.005%,
subject to a maximum of Rs. 5 lakh. The fee for filing offer documents for buyback of securities has been reduced from 0.05% to 0.125%, subject to a maximum of Rs. 3 crore.