Firewall between Credit Rating Agencies and their Affiliates

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....Affiliates I. SEBI (Credit Rating Agencies) Regulations, 1999 ("CRA Regulations") provide for a principle-based regulation of Credit Rating Agencies (CRAs) focusing inter alia on prevention of conflict of interests. Regulation 13 of the CRA Regulations require CRAs to abide by the Code of Conduct contained in the Third Schedule. II. Further, CRA Regulations inter alia required CRAs to segreg....

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....ween the CRA and the non-rating entity, including specification on whether such arrangement is temporary. ii. Measures taken by CRA to ensure the independence of its credit rating process in view of the above arrangement with the non-rating entity. iii. Guidance to employees on sharing of information or resources, if any, between the CRA and the non-rating entity in order to miti....

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....ting entities of the CRA. D. The websites of SEBI-registered CRAs and their non-rating entities shall be separate. A CRA's website may contain hyperlinks to the separate websites of the non-rating entities. IV. Applicability: The circular shall be applicable with effect from January 1, 2023, and CRAs shall report on their compliance with this circular (as ratified by their respective b....