Exchanges call for better scrutiny by merchant bankers
Business Standard|September 26, 2024
Amid concerns over the quality of issuances by small and medium enterprises (SMEs) and rising instances of violations, stock exchanges have urged investment bankers to enhance scrutiny and ground checks before filing documents for an initial public offering (IPO).
KH USHBOO TIWARI
Exchanges call for better scrutiny by merchant bankers

The developments come close on heels of market regulator Securities and Exchange Board of India's (Sebi's) nudge to BSE to halt the listing of a recent SME firm following complaints from industry participants. Also, according to latest reports, six merchant bankers are under the scanner of Sebi for questionable practices on fee collection.

In a meeting held on Tuesday, BSE's managing director (MD) and chief executive officer (CEO) Sundararaman Ramamurthy had apprised over 80 merchant bankers across India for more checks on IPO-bound firms.

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