SEBI's new Settlement of Administrative and Civil Proceedings Regulations, 2026 take effect

The Securities and Exchange Board of India has brought into force the SEBI (Settlement of Administrative and Civil Proceedings) Regulations, 2026, notified in the Official Gazette on 7 October 2026 and effective from 7 November 2026. The regulations were made in exercise of SEBI's powers under Section 15JB of the SEBI Act, 1992, Section 23JA of the Securities Contracts (Regulation) Act, 1956, and Section 19-IA of the Depositories Act, 1996, read with the Board's general rule-making powers under those three statutes.

They lay down the procedure and terms on which a person facing a 'specified proceeding' — defined to include a proceeding initiated or pending before the Board, or an appeal pending before the Securities Appellate Tribunal or the Supreme Court for violation of securities laws — may apply to settle that proceeding, including how a settlement amount is to be computed and the roles of an Internal Committee, a Panel of Whole Time Members and a High Powered Advisory Committee in approving such settlements. To help entities navigate the new framework, SEBI has published FAQs on the regulations, provided an online calculator and explainer video for computing the settlement amount, opened an online application portal for settlement applications, and set up a dedicated help desk for applicants.