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CS Executive · Capital Market and Securities Laws · Buy-Back of Securities

Kaveri Textiles Ltd completed its buy-back on 10 March. By what date must it file the return of buy-back with the Registrar and SEBI, assuming it is listed?

The return of buy-back must be filed with the Registrar and SEBI within thirty days of completion of the buy-back. For completion on 10 March this means 9 April. The seven-day limit applies to destroying the bought-back securities, not to filing the return.

  1. AWithin seven days, i.e. 17 March
  2. BWithin thirty days of completion, i.e. 9 AprilCorrect
  3. CWithin sixty days of completion
  4. DWithin one year of the special resolution

Explanation

Section 68(10) requires the return to be filed within thirty days of completion of the buy-back. Thirty days from 10 March falls on 9 April. The seven-day period relates to extinguishing and physically destroying the securities, not to the return.

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