Regulatory Framework of Corporate Finance

To provide a macro-level overview of the multi-layered statutory landscape governing corporate finance in India.

Lesson Outline

Corporate Formation and Capital Issuance

• The Companies Act, 2013 & Rules

  • Capital Raising
  • Corporate Governance
  • Financial Reporting

Market Integrity, Listing, and Securities Trading

• SEBI Act, 1992

  • Market Oversight
  • Market Abuse Prevention

• Securities Contracts (Regulation) Act, 1956

  • Regulation of trading contracts and the structural registration and oversight of stock exchanges to prevent undesirable transactions

• Depositories Act, 1996

  • Dematerialisation

Cross-Border Inflows and Systemic Banking Control

• FEMA, 1999 & FDI Policy

  • Capital Accounts: Regulating foreign direct investments, setting sectoral caps, and governing External Commercial Borrowings

• RBI Act, 1934

  • Systemic Stability: Management of money supply, credit control, and banking regulations that ensure corporate debt exposures do not destabilise the financial sector

Offshore Unified Ecosystem

• International Financial Services Centres Authority Act, 2019

  • Unified Regulator Jurisdiction

  • IFSCA (Listing) Regulations

  • Offshore Fund Management & Treasury