CHAPTER VII SETTLEMENT WITH CONFIDENTIALITY 30. . (1) The Board may grant, to a person who agrees to provide substantial assistance in the examination, investigation, inspection, or audit, initiated or to be initiated, against any person in respect of a violation of securities laws, benefit of confidentiality in return for admitting default for the limited purpose of settlement of specified proceedings to be initiated. (2) An applicant seeking the benefit provided under sub-regulatio... ... ...

DIRECTORATE GENERAL OF SYSTEMS AND DATA MANAGEMENT CENTRAL BOARD OF INDIRECT TAXES & CUSTOMS Dept. of Revenue, Ministry of Finance, Government of India Date: 21st September, 2026 Advisory No: 38 /2026 Category: SCMTR Issued by: DGoS, ICES Subject: - reg. Q1: How can House Bills of Lading (HBL) be added after Sea Arrival Manifest (SAM) filing if the Master BL was initially submitted as a Straight BL? If a Shipping Line / Main Line Operator (MLO) has erroneously filed a... ... ...

29. . If an entity,- (i) does not file a settlement application under regulation 27; (ii) does not remit the settlement amount within time specified in the notice given under regulation 27; (iii) fails to make the payment of settlement amount or does not file revised settlement terms as referred in regulation 28, the specified proceeding may be initiated or continued against such entity, and such an entity shall only be permitted to file a settlement application ... ... ...

28. . (1) While considering an application for settlement in accordance with regulation 22, if Internal Committee is of the opinion that settlement amount calculated under these regulations is upto ten lakh rupees and no disgorgement or Remedial and Regulatory Term are applicable, the Internal Committee shall call upon the applicant to take steps in terms of regulation 22(5)(e). (2) Upon receipt of revised settlement term, the application shall be placed before Panel of Whole Time Member a... ... ...

27. . (1) The Board may, before initiating any specified proceeding, issue a notice of fast track settlement in the format as specified in Part-B of Schedule-II, calling upon the entity to file a settlement application under Chapter- II and submit the settlement amount and either comply with or furnish an undertaking to comply with Remedial and Regulatory Term, as may be specified in the fast track settlement notice for the following defaults,- i. Delayed disclosures, including filin... ... ...

Fast track settlement applies to settlement proceedings under Chapter VI through two designated forms: violation-based fast track settlement and monetary-threshold-based fast track settlement. In specified proceedings settled under this Chapter, Regulations 23 and 24 are inapplicable except where otherwise provided, and the process applies without operation of those regulations.

The Panel of Whole Time Member may accept or reject settlement recommendations in covered specified proceedings. On non-acceptance, it may return the application for re-examination of settlement terms or record and communicate reasons for declining the recommendation. On acceptance of a High Powered Advisory Committee recommendation, the applicant must pay the settlement amount through the dedicated payment gateway and comply with all settlement terms and conditions. The Panel may, for recorded reasons based on the case facts and gravity of charges, determine a lower or higher settlement amount.

24. . (1) The High Powered Advisory Committee shall consider the proposed settlement term and recommendation of Internal Committee, placed before it along with the following: (a) the application, undertaking and waivers of the applicant; (b) factors specified in regulation 18; (c) settlement term or revised settlement term as proposed by the applicant; (d) any other relevant material available on record. (2) The High Powered Advisory Committee may seek r... ... ...

23. . (1) The Board shall constitute a for consideration and recommendation on the term of settlement proposed by the applicant and the recommendation made thereon by the Internal Committee. (2) The while recommending settlement term may take into consideration various powers or discretion given to the Panel of Whole Time Member in these regulations. (3) The shall consist of a Judicial member who has been the Judge of the Supreme Court or a High Court and three external experts havin... ... ...

22. . (1) Save as otherwise provided in these regulations, an application shall be referred to an Internal Committee to examine whether the specified proceeding may be settled and if so to determine the settlement term in accordance with these regulations. (2) The Internal Committee while recommending settlement term may take into consideration various powers or discretion given to the Panel of Whole Time Member in these regulations. (3) The applicant shall be provided an opportunity of... ... ...

Interest awarded on enhanced compensation under Section 28 of the Land Acquisition Act, 1894 retains the character of compensation and is a capital receipt rather than income from other sources. Accordingly, tax deduction at source cannot be made from that interest. This treatment differs from interest under Section 34, which compensates delayed payment of the original compensation and is treated as a revenue receipt. Section 96 of the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013 supports the policy of exempting land-acquisition awards from income tax.

CHAPTER V CONSTITUTION, PROCEDURES AND POWERS OF COMMITTEES AND PANEL OF WHOLE TIME MEMBER 21. . (1) The Board shall constitute Internal Committee comprising its officials. (2) The Internal Committee shall comprise one officer of the Board of the rank of Chief General Manager and such other officers as may be specified by the Board. (3) The Board may constitute as many numbers of Internal Committees as are required for the purposes of these regulations. =============... ... ...

20. . (1) In a specified proceeding where the applicant is liable to pay any amount including disgorgement of wrongful gains made or loss averted or loss caused to investors, the same shall be paid along with interest, as under, namely :- (i) if no final order is passed by the Board, at the rate of nine percent per annum from the date of transaction till the date of filing of settlement application; or (ii) if final order is passed by the Board, at the rate of nine percent p... ... ...

19. . In case of grant of confidentiality by the Board, the settlement amount arrived at in accordance with these regulations shall, be reduced as follows, - (i) those marked first in priority status may be granted reduction of up to or equal to ninety percent of the settlement amount; (ii) those marked second in priority status may be granted reduction of upto or equal to fifty percent of the settlement amount; and (iii) those marked third or subsequent in the prio... ... ...

18. . (1) While arriving at Remedial and Regulatory Term under regulation 17, factors enumerated herein but not limited thereto, may be considered, namely :- (a) conduct of the applicant during the specified proceeding, examination, investigation, inspection, or audit; (b) the role played by the applicant in case the alleged default is committed by a group of persons; (c) nature, gravity and impact of alleged defaults; (d) market wide impact of the default;... ... ...

17. . (1) The may include one or more of the following, namely: - (i) Implementation of enhanced procedures and policies to prevent future securities laws violations as well as agreeing to appoint or engage an independent consultant to review internal policies, processes and procedures; (ii) Providing enhanced training and education to employees of intermediaries and securities market infrastructure institutions; (iii) Agreeing to submit to enhanced internal audit ... ... ...

16. . The Panel of Whole Time Member shall take into account the following mitigating factors, where applicable, with a base value of '0.20' for each of them, subject to a maximum limit of five mitigating factors, namely: - (i) The settlement amount would affect the ability of the applicant to make restitution to investors; (ii) The applicant had minimal participation in the alleged default; (iii) Proactive and exceptional cooperation, including: a.... ... ...

15. . The following aggravating factors, where applicable, with a base value of '0.20' for each of them, subject to a maximum of five aggravating factors, shall be applied while calculating the settlement amount: (i) Efforts to frustrate or prolong an examination, investigation, inspection, audit or a civil and administrative proceeding, including settlement proceeding; (ii) Providing inaccurate or misleading testimony or information or failing to provide information... ... ...

14. . (1) A gravity factor of "0.25", for reputation risk, shall be added in all settlement applications which are without admitting violation of securities laws. (2) The following gravity factors shall additionally be added in all settlement applications, where applicable, namely: - Nature of Violation Base Value 1. Failure to make open offer under SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011 0.25 2. Offer documents related violations (with... ... ...

13. . (1) The sum of all the values assigned to the administrative warning or order issued against the applicant shall be regulatory action factor. (2) Regulatory action factor shall be determined as per the following table, namely :- ORDERS AND REGULATORY DIRECTIONS ISSUED TO THE APPLICANT VALUE PER ORDER OF 'R' No prior order passed 0 Administrative Warning issued 0.10 per Administrative Warning Settlement Order passed 0.20 per Settlement Order Adverse ... ... ...