S&R Associates, Author at S&R Associates

Regulatory Initiatives on ESG Disclosure Requirements in India

Insights | May 21, 2025 | Practice Area: Banking and Finance, Corporate Governance and ESG, General Corporate, Regulatory

Regulatory initiatives to build the legal frameworks around environmental, social, and governance (“ESG”) disclosures in India, while still nascent, are not of recent origin. Various regulators have gradually introduced requirements aimed at enhancing transparency and fostering corporate responsibility. This note examines these evolving ESG disclosure frameworks as implemented by the Securities and Exchange Board of India, the Reserve Bank of India, and the International Financial Services Centres Authority. It further analyzes the regulatory gaps that these initiatives seek to fill, andproposes solutions to enhance these frameworks.

India’s Concerns About Deepseek and Possible Regulatory Responses

Insights | May 20, 2025 | Practice Area: Data, Regulatory, Technology; Media and Telecommunications

Large language models (“LLMs”) connected with DeepSeek, OpenAI’s ChatGPT, and xAI’s Grok, have faced significant regulatory attention in recent times. In particular, DeepSeek’s LLMs and artificial intelligence (“AI”)-based chatbots have been prohibited, restricted, and/or extensively reviewed by several countries, including because of concerns related to privacy and national security.
While the Government of India (“Government”) is currently monitoring the use of DeepSeek by Indian users, it may adopt regulatory measures under existing provisions of the Information Technology Act, 2000 (“IT Act”) and its rules, as necessary. Such provisions include those related to: (i) blocking public access on account of risks to the security or sovereignty of India (under section 69A of the IT Act), subject to specified procedures and safeguards; and (ii) ‘safe harbor’ and intermediary liability (under section 79 of the IT Act), subject to due diligence and other obligations in respect of hosting third-party information.
Further, the Government has certain powers under the Digital Personal Data Protection Act, 2023 (“DPDP Act”) and its rules, the provisions of which are yet to be notified but are expected to come into force soon. Such powers include restricting cross-border data flows/ transfers and requiring data localization in certain circumstances.

Implementation of the Environment (Construction and Demolition) Waste Management Rules, 2025 by Project Developers

Insights | May 19, 2025 | Practice Area: Clean Energy, Corporate Governance and ESG, Projects; Infrastructure and Energy, Real Estate, Regulatory

The Environment (Construction and Demolition) Waste Management Rules, 2025 (“Construction Waste Rules”) have been recently notified as a response to growing concerns about construction dust pollution from projects across India. The Construction Waste Rules set out an integrated framework for waste management as well as utilization by imposing extended producer responsibility aided by a central interface based online monitoring and compliance assessment. This note analyzes certain key provisions in the Construction Waste Rules, especially from the perspective of infrastructure and real estate developers and contractors, including considerations for risk allocation.

Environmental Law: Issue 1 of 2025

Quarterly Roundups | May 7, 2025 | Practice Area: Clean Energy, Corporate Governance and ESG, Litigation and Arbitration, Regulatory

Issue 1 of 2025 of our Quarterly Newsletter on Environmental Law covers key judicial and regulatory developments between the months of January and March 2025. In respect of judicial updates, Issue 1 includes judgements and orders of the Supreme Court, High Courts and the National Green Tribunal related to inter-alia color-coded registration plates for diesel and petrol vehicles; investigation into illegal earth mining and unauthorized brick kilns in elephant corridors; coastal regulation zone clearances; wetlands of international importance; and tree-felling restrictions and industrial expansion in the Taj Trapezium Zone.
In addition, Issue 1 also tracks regulatory updates related to inter-alia plastic and battery waste management; end-of-life vehicles; revised classifications in respect of industrial sectors; consent guidelines; standard operating procedure for petrol depots; effluent and emission standards for the caustic soda industry; amendments to environment impact assessment norms in respect of linear projects; and mandatory registration requirements for lead acid battery dealers, refurbishers and recyclers.

Misleading Advertisements: A Cautionary Tale on Advertisement of Consumer Goods and Services

Insights | May 6, 2025 | Practice Area: General Corporate, Regulatory

Misleading advertisements in India have been a growing concern, particularly in sectors like healthcare, pharmaceuticals, food and consumer goods, where exaggerated or false claims can have serious consequences. This note provides an insight into the legal and ethical implications of misleading advertisements in the consumer goods sector and how the Supreme Court has reinforced its directions issued in the case ofIndian Medical Association v. Union of Indiaby actively reviewing submissions by central and state governmental bodies on the actions taken by them to prevent violations of advertising laws in India. The Supreme Court has demanded concrete actions to ensure compliance with advertising laws, signaling a stricter approach towards enforcement. This judicial intervention underscores a new era of consumer protection, where regulatory complacency is no longer tolerated and misleading advertisements face stringent scrutiny.

Regulatory Landscape for SM REITs in India

Insights | May 5, 2025 | Practice Area: Capital Markets, Investment Funds, InvITs; REITs and Business Trusts, Real Estate, Regulatory

In March 2024, the Securities and Exchange Board of India (“SEBI”) amended the SEBI (Real Estate Investment Trusts) Regulations, 2014, to introduce Small and Medium Real Estate Investment Trusts (“SM REITs”), aiming to regulate fractional ownership platforms (“FOPs”) that offer retail investors access to real estate. This move addresses concerns related to investor protection, regulatory gaps, and operational transparency in FOPs. SM REITs are structured as SEBI-registered trusts and are required to comply with specific eligibility, investment, and governance criteria. This note outlines procedures for registration, scheme launches, and investor safeguards intended to enhance investor confidence, market liquidity, and standardized practices in India’s evolving real estate sector.

Recalibrating Compliance: Legal Implications of SEBI’s Revised Listing Regulations for HVDLEs

Insights | April 30, 2025 | Practice Area: Banking and Finance, Capital Markets

The Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015 (“Listing Regulations”) provide for the various compliance actions and reporting requirements for entities who have listed equity shares or other specified securities and/or non-convertible securities on the stock exchange. The Securities and Exchange Board of India (“SEBI”) recently amended the Listing Regulations by way of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) (Amendment) Regulations, 2025 which has become effective as of March 28, 2025 (“Listing AmendmentRegulations”).
The changes introduced by the Listing Amendment Regulations primarily provide for additional reporting and compliance requirements for companies that have listed only non-convertible securities and qualify as a “high value debt listed entity” under the Listing Regulations. Previously, all high value debt listed entities needed to comply with Chapter V of the Listing Regulations, regardless of whether they had listed equity shares or other specified securities. Pursuant to the Listing Amendment Regulations, a new Chapter VA has been introduced that prescribes additional requirements for those high value debt listed entities that have only listed non-convertible debt securities. Such entities are now required to comply with the provisions of both Chapter V and Chapter VA of the Listing Regulations.

‘Prior’ CCI Approval of Resolution Plans: A Case for a Legislative Amendment

Insights | April 28, 2025 | Practice Area: Banking and Finance, Competition/Antitrust, General Corporate, Mergers and Acquisitions, Regulatory, Restructuring and Insolvency

The recent judgment of the Supreme Courtin Independent Sugar Corporation Ltd. v. Girish Sriram Juneja & Ors. has reignited the debate on whether the approval of the Competition Commission of India (“CCI”) must precede the Committee of Creditors (“CoC”) approval in the insolvency process. This note critiques the Court’s strict interpretation of the proviso to Section 31(4) of the Insolvency and Bankruptcy Code, 2016 and supports the dissenting opinion, arguing for a liberal interpretation of the proviso to Section 31(4). The note proposes a legislative amendment to the proviso, proposing that CCI approval be requiredprior to approval of the adjudicating authority(i.e., the NCLT) instead ofprior to CoC approval, to better balance regulatory compliance with efficiency of the insolvency process.

Regulatory Updates: IFSCA (Fund Management) Regulations, 2025

Insights | April 7, 2025 | Practice Area: Investment Funds, Regulatory

The International Financial Services Centres Authority (“IFSCA”) has introduced the IFSCA (Fund Management) Regulations, 2025 (“FM Regulations 2025”) to further streamline fund management activities in GIFT-IFSC. The FM Regulations 2025 introduce investor-friendly measures, reduced entry barriers, and increased operational flexibility, while also strengthening investor protection. These regulations aim to foster a business-friendly environment, align with global standards, and reinforce GIFT-IFSC’s position as a global financial hub.

Updated Master Direction on Foreign Investment in India: Clarifications to the Regulatory Framework

Insights | April 3, 2025 | Practice Area: General Corporate, Mergers and Acquisitions, Regulatory

The Reserve Bank of India recently issued an updated Master Direction on Foreign Investment in India (“Master Direction”) on January 20, 2025 to clarify various aspects in the regulatory framework for inbound investments. The Master Direction provides significant regulatory clarifications on foreign investments in India, particularly in relation to downstream investments, cross-border share swaps, share issuances to non-resident shareholders pursuant to a scheme of merger or amalgamation, and the issue of equity-based employee benefits to directors and employees resident outside India. This note highlights the key clarifications and changes to the regulatory framework brought about by the Master Direction that are intended to provide greater certainty and enhance the ease of doing business for overseas investors in India.