Description

NSE identifies 15 companies non-compliant with Regulation 76 (Reconciliation of Share Capital Audit Report) for two consecutive quarters (Sep-Dec 2025), confirming their continued trading in Z Category from April 6, 2026.

Summary

NSE has identified 15 companies as non-compliant with Regulation 76 of SEBI (Depositories and Participants) Regulations, 2018, specifically the Submission of Reconciliation of Share Capital Audit Report, for two consecutive quarters ending September 30, 2025 and December 31, 2025. While these companies would ordinarily be transferred to Z Category (BZ/SZ Series) effective April 6, 2026, all 15 are already trading in Z Category under prior Exchange circulars. Their trade-for-trade settlement basis will therefore continue.

Key Points

  • 15 companies identified as non-compliant with Regulation 76 of SEBI Depositories and Participants Regulations, 2018
  • Non-compliance spans two consecutive quarters: September 30, 2025 and December 31, 2025
  • All 15 companies are already in Z Category under earlier NSE circulars — no new transfer is triggered
  • Trades in these securities continue to be settled on a Trade for Trade (TFT) basis
  • Effective date for the Z Category eligibility under this circular: April 6, 2026
  • Pursuant to SEBI Master Circular No. HO/49/14/14(7)2025-CFD-POD2/I/3762/2026, originally issued July 11, 2023, last updated January 30, 2026

Regulatory Changes

No new regulatory framework is introduced. This circular reaffirms existing Z Category status for the listed companies under the SEBI Master Circular on non-compliance with Regulation 76 (Reconciliation of Share Capital Audit Report) of SEBI (Depositories and Participants) Regulations, 2018.

Compliance Requirements

  • The 15 named companies must comply with Regulation 76 — timely submission of Reconciliation of Share Capital Audit Reports — to exit Z Category
  • Members (brokers) must note that all trades in these securities remain on Trade for Trade settlement basis
  • No netting of positions is permitted for trades in these scrips

Important Dates

  • Non-compliance period: September 30, 2025 and December 31, 2025 (two consecutive quarters)
  • Effective date (Z Category eligibility under this circular): April 6, 2026
  • SEBI Master Circular last updated: January 30, 2026

Impact Assessment

Affected Companies:

Sr. No.Company NamePrior Circular
1AGS Transact Technologies LimitedNSE/CML/70317
2Ankit Metal & Power LimitedNSE/CML/64541
3Future Enterprises LimitedNSE/CML/55207
4Future Lifestyle Fashions LimitedNSE/CML/56081
5Gensol Engineering LimitedNSE/CML/70808
6Housing Development and Infrastructure LimitedNSE/CML/43626
7Impex Ferro Tech LimitedNSE/CML/64541
8Lakshmi Precision Screws LimitedNSE/CML/38892
9Morarjee Textiles LimitedNSE/CML/64541
10Omkar Speciality Chemicals LimitedNSE/CML/54919
11Ortel Communications LimitedNSE/CML/42146
12Rajvir Industries LimitedNSE/CML/49924
13Reliance Home Finance LimitedNSE/CML/70317
14Setubandhan Infrastructure LimitedNSE/CML/57773
15SKIL Infrastructure LimitedNSE/CML/62406

Market Impact: Z Category designation restricts trading to Trade for Trade settlement, eliminating intraday netting and significantly reducing liquidity. Investors in these scrips face higher transaction costs and limited exit opportunities. The continuation (rather than a fresh transfer) confirms persistent governance or reporting failures at these companies, which may further dampen investor sentiment.

Impact Justification

Affects 15 listed companies confirmed to remain in Z Category (trade-for-trade settlement), impacting liquidity and investor confidence. Effective date of April 6, 2026 creates near-term trading implications.