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Introducing the βIn Favour Ofβ filter in Case Laws.
Try it now in Case Laws β


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<h1>SEBI Mandates Mutual Funds to Vote on Key Corporate Resolutions for Enhanced Transparency and Accountability.</h1> The Securities and Exchange Board of India (SEBI) issued guidelines for mutual funds to enhance transparency and ensure diligent exercise of voting rights. Mutual funds, including passive investment schemes, must compulsorily cast votes on resolutions related to corporate governance, capital structure changes, management compensation, social responsibility, director appointments, and related party transactions. From April 1, 2022, all resolutions require voting unless there is no economic interest. Voting is generally at the mutual fund level, but scheme-level voting is allowed with documented rationale. Fund managers must quarterly declare votes are in unit holders' best interests, with trustees confirming in semi-annual reports. The guidelines take effect from April 1, 2021.