Description

SEBI settlement order against Angel One Limited for violations of LODR Regulations related to delayed disclosure and failure to disclose material developments in scheme of arrangement.

Summary

SEBI issued Settlement Order No. SO/SM/BK/2025-26/8503 against Angel One Limited (PAN: AAACM6094R) for violations of LODR Regulations. The company failed to disclose material developments related to a proposed scheme of arrangement and delayed disclosure of meeting outcomes by approximately 2 hours on August 09, 2023. Angel One filed settlement application 8503/2025 without admission or denial of violations. The Internal Committee recommended a settlement amount of ₹34,57,145 (Rupees Thirty Four Lakh Fifty Seven Thousand One Hundred Forty Five only) computed under Schedule II of SEBI Settlement Proceedings Regulations, 2018.

Key Points

  • Angel One Limited violated Regulation 30(7) read with Regulation 4(1)(d)(e)(h) of LODR Regulations, 2015
  • Violated Regulation 30(6) of LODR Regulations read with SEBI circular dated July 13, 2023
  • Failed to disclose material developments related to proposed scheme of arrangement disclosed on August 09, 2023
  • Delayed disclosure of meeting outcome by approximately 2 hours on August 09, 2023
  • Show Cause Notice issued on April 16, 2025 (SCN No. SEBI/EAD5/P/OW/2025/10999/1)
  • Settlement application filed under SEBI (Settlement Proceedings) Regulations, 2018
  • Internal Committee recommended settlement amount of ₹34,57,145
  • Adjudicating Officer appointed under Section 19 and Section 15-I of SEBI Act, 1992

Regulatory Changes

No new regulatory changes introduced. This order enforces existing LODR Regulations regarding timely and complete disclosure of material events and price-sensitive information by listed entities.

Compliance Requirements

  • Listed entities must comply with Regulation 30(6) and 30(7) of LODR Regulations
  • Timely disclosure of material developments and outcomes of meetings required
  • Material events related to schemes of arrangement must be disclosed promptly
  • Disclosures must be made without delay as per SEBI circular dated July 13, 2023
  • Listed brokers and financial intermediaries must maintain strict adherence to disclosure timelines

Important Dates

  • August 09, 2023: Date of disclosure violation (delayed disclosure and non-disclosure of material developments)
  • April 16, 2025: Show Cause Notice issued
  • June 19, 2025: Internal Committee meeting held to deliberate settlement terms
  • September 19, 2025: New Adjudicating Officer appointed
  • November 04, 2025: Settlement order document dated

Impact Assessment

Market Impact: Low - The violations were procedural in nature involving disclosure delays of approximately 2 hours and non-disclosure of scheme-related developments. Settlement mechanism used indicates cooperative resolution.

Operational Impact: Medium for Angel One Limited - Company required to pay settlement amount of ₹34.57 lakh and strengthen internal disclosure compliance mechanisms.

Regulatory Precedent: Reinforces SEBI’s focus on strict compliance with continuous disclosure obligations under LODR Regulations, particularly for listed brokers and financial intermediaries. Demonstrates SEBI’s willingness to accept settlements for procedural violations while ensuring accountability through monetary penalties.

Impact Justification

Settlement order for disclosure violations by Angel One Limited. Medium importance due to broker involvement and regulatory compliance implications. Low market impact as violations were procedural (delayed disclosure by 2 hours) and resolved through settlement process.