Corporate & Compliance Digest October 12, 2026
We are delighted to share this week's AKP Corporate & Compliance Weekly Digest. Please feel free to write to us with your feedback at info@akandpartners.in.
1. Labour Law & Employment Law
1.1. Haryana Labour Commissioner Directs Strict Enforcement of Minimum Wage Notification Across All Establishments
The Labour Commissioner, Haryana has directed all field labour authorities to ensure strict implementation of the notification dated 9 April 2026 prescribing minimum rates of wages across all establishments, including petty establishments. The direction follows concerns raised in a pending public interest litigation before the Hon'ble High Court, where allegations were made regarding non-implementation of the notification in petty establishments. Authorities have been instructed to enforce the notification in letter and spirit, and any laxity in implementation will be viewed seriously.
1.2. Ministry of Labour and Employment Conducts Industry Outreach Programme on Labour Codes in Uttarakhand
The Ministry of Labour and Employment, in collaboration with the Government of Uttarakhand and industry associations, organised a district-level capacity-building and awareness programme on the labour codes in Rudrapur, Uttarakhand. The programme focused on enhancing employer and industry awareness of the labour codes, which came into force on 21 November 2025, and the Central Rules notified on 8 May 2026, with discussions covering key compliance requirements and practical implementation aspects under the new labour law framework. The programme brought together employers, industry representatives and other stakeholders, and included technical sessions on employer obligations under the labour codes as well as social security initiatives such as the Pradhan Mantri Viksit Bharat Rozgar Yojana and the Pradhan Mantri Shram Yogi Maandhan. The initiative forms part of the Government's efforts to facilitate stakeholder engagement, address implementation-related concerns and promote effective compliance with the new labour law regime.
2. Securities & Capital Markets
2.1. CDSL Notifies Implementation of SEBI's Credit Risk-o-Meter Framework for Debt Securities
CDSL has notified Depository Participants ("DPs") of the implementation of the Credit Risk-o-Meter framework introduced by the Securities and Exchange Board of India ("SEBI") for debt securities. Under the revised framework, entities operating as Online Bond Platform Providers ("OBPPs") are required to display a colour-coded Credit Risk-o-Meter indicating the credit risk associated with listed debt securities, based on the corresponding credit rating assigned to the instrument. The Credit Risk-o-Meter must be prominently displayed alongside bond details on OBPP websites and mobile applications and updated within 24 hours of any rating change. OBPPs are also required to maintain appropriate audit trails and ensure compliance with the disclosure requirements prescribed by SEBI. The new framework will come into effect 45 days from 7 October 2026.
2.2. CDSL Notifies SEBI Relaxation of Merchant Banker Appointment Requirement for Certain Privately Placed Debt Issuances
CDSL has informed DPs of the SEBI circular exempting certain listed issuers from the requirement to appoint a merchant banker for the issuance of debt securities and non-convertible redeemable preference shares through private placement at a face value of INR 10,000 (Indian Rupees Ten Thousand only). The exemption is available to issuers regulated by Indian financial sector regulators, including SEBI, the Reserve Bank of India, the Insurance Regulatory and Development Authority of India and the Pension Fund Regulatory and Development Authority, subject to specified eligibility conditions relating to listing history, regulatory compliance, absence of defaults, security structure and a minimum credit rating of AA-. CDSL has advised DPs to take note of the revised framework, which came into effect immediately upon issuance of the SEBI circular.
2.3. NSE Revises Additional Surveillance Measure List for Companies Under Insolvency Proceedings
The National Stock Exchange of India Limited ("NSE") has revised the list of securities covered under the Additional Surveillance Measure ("ASM") framework applicable to companies undergoing proceedings under the Insolvency and Bankruptcy Code, 2016 ("IBC"). Pursuant to its periodic surveillance review, NSE has identified certain securities for inclusion under the ASM-IBC framework with effect from 12 October 2026, while certain other securities have been excluded after satisfying the prescribed exit criteria. NSE has clarified that the ASM-IBC framework operates in conjunction with other surveillance measures imposed by stock exchanges and that the inclusion of a security under the framework is solely a market surveillance measure and should not be construed as an adverse action against the concerned company.
2.4. NSE Revises Enhanced Margin Framework for Companies with High Encumbrance Levels
The NSE has revised the list of securities covered under its surveillance framework applicable to companies with high promoter and non-promoter encumbrance levels disclosed under regulation 28(3) of the SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011. Pursuant to its periodic review, certain securities have been included within the framework and will be subject to a minimum 75 per cent (seventy-five per cent) margin requirement across the equity and equity derivatives segments with effect from 14 October 2026, while certain securities have been removed after meeting the prescribed exit criteria. NSE has clarified that the measure will operate in conjunction with other surveillance actions implemented by stock exchanges and that inclusion under the framework should not be construed as an adverse action against the concerned company.
2.5. BSE Limited and Meesho Expand Project Shikhar to Promote SME IPO Awareness in Surat
Bombay Stock Exchange (“BSE”), in partnership with Meesho, has expanded its Project Shikhar initiative to Surat with the objective of increasing awareness among micro, small and medium enterprises ("MSMEs") regarding fundraising opportunities through the BSE SME platform. The programme provided participating businesses with guidance on SME listing eligibility, financial preparedness, governance standards, compliance requirements, disclosure obligations and the role of intermediaries in the listing process. The initiative forms part of a broader effort to enhance capital market participation by MSMEs and follows the launch of Project Shikhar in Delhi earlier in 2026. BSE and Meesho have stated that the programme is intended to help growing enterprises better understand the opportunities and responsibilities associated with becoming publicly listed companies while encouraging stronger governance and financial discipline.
3. Information Technology & Data Protection
3.1. CERT-In and CSIRT-Fin Issue Advisory on Cyber Attacks Targeting Digital Lending and Payment Ecosystems
The Indian Computer Emergency Response Team ("CERT-In") and the Computer Security Incident Response Team for the Financial Sector ("CSIRT-Fin") have issued an advisory highlighting a surge in cyber-attack campaigns targeting non-banking financial companies, digital lending platforms, fintech entities, payment service providers and wallet operators. The advisory notes that threat actors are compromising internet-facing applications, exposed Application Programming Interface (“APIs”) and privileged endpoints to obtain payment aggregator, gateway and banking API credentials, enabling unauthorised fund transfers while bypassing controls such as loan creation, KYC verification, sanctions screening, beneficiary validation and transaction limits. To mitigate these risks, the advisory recommends strengthening authentication controls through multi-factor authentication, maintaining a comprehensive API inventory, implementing transaction validation and maker-checker controls, enforcing transaction and beneficiary verification limits, enhancing real-time monitoring and reconciliation processes, securing API credentials through secret management solutions, deploying endpoint detection and response tools, and conducting regular vulnerability assessments and penetration testing. Organisations detecting suspicious activity have been advised to isolate affected systems, rotate compromised credentials, preserve forensic evidence and report incidents to CERT-In and CSIRT-Fin.
3.2. Central Government Issues Digital Personal Data Protection (Removal of Difficulties) Order, 2026
The Ministry of Electronics and Information Technology has issued the Digital Personal Data Protection (Removal of Difficulties) Order, 2026 to address certain textual and interpretational ambiguities in the Digital Personal Data Protection Act, 2023. The Order clarifies that the requirement to obtain verifiable consent before processing personal data applies to both a child and a person with disability having a lawful guardian and amends the wording of section 9 accordingly. It also replaces the reference to “audit” with “data audit” in section 10 to clarify the scope of periodic audit obligations applicable to Significant Data Fiduciaries and to avoid inconsistent regulatory interpretation. The Order came into force on its publication in the Official Gazette.
4. Taxation (Indirect & Direct)
4.1. Central Board of Direct Taxes Revises Form No. 161 for Penalty Waiver Applications under the Income-tax Act, 2025
The Central Board of Direct Taxes ("CBDT") has notified the Income-tax (Sixth Amendment) Rules, 2026, amending rule 231 of the Income-tax Rules, 2026 and substituting the existing Form No. 161. The revised form is intended for applications seeking waiver of penalty under section 440(2) of the Income-tax Act, 2025 and incorporates detailed disclosures relating to assessment or reassessment orders, under-reported income, tax and interest payable, additional income-tax payable in lieu of penalty, and amounts paid by the applicant. The amendment also updates the language of rule 231 to expressly refer to the “imposition or waiver” of penalty. The amended rules came into force on 8 October 2026 upon their publication in the Official Gazette.
5. Regulatory Enforcement (Security and Exchange Board of India)
Authority | Name of the Entity | Amount | Contravention |
SEBI | VCK Share & Stock Broking Services Limited | INR 2,00,000 (Indian Rupees Two Lakh only) | Permitted operation of CTCL terminals by unauthorised users and failed to ensure that authorised persons possessed the mandatory NISM Series-VII certification, in violation of the SEBI (Stock Brokers) Regulations, 1992 and SEBI Notification No. LAD-NRO/GN/2010-11/21/29390. |
SEBI | Rashi Equisearch Private Limited | INR 1,00,000 (Indian Rupees One Lakh only) | Failed to maintain legally verifiable evidence of clients' pre-order confirmations or authorisations for a significant number of trades and failed to capture and maintain originating IP address logs for Internet Based Trading (IBT) and Securities Trading using Wireless Technology (STWT) orders, in violation of applicable SEBI and stock exchange requirements relating to audit trails, accountability and investor protection. |
SEBI | Harbourfront India Trust, Harbourfront India Investment Advisory LLP
| INR 12,75,000 (Indian Rupees Twelve Lakh Seventy-Five Thousand only)
| Failure to maintain the Sponsor's minimum continuing interest of 2.5 percent (two point five percent) in Harbourfront India Trust Alternative Investment Fund ("AIF"), resulting in alleged violation of Regulation 10(d) of the SEBI (Alternative Investment Funds) Regulations, 2012 and related provisions applicable to the Manager and Key Managerial Personnel.
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Disclaimer
The note is prepared for knowledge dissemination and does not constitute legal, financial or commercial advice. AK & Partners or its associates are not responsible for any action taken based on its contents.
For further queries or details, you may contact:
Mr Anuroop Omkar
Founding Partner, AK & Partners
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