My ompany has applied for delisting from stock exchange in 2004. Up to that period it has paid listing fees. But due to some documentery requirements till today my company is in process of delisting.
So some body can tell me whether my company is liable for payment of these listing fees from 2005 to 2009.
17 December 2009
Can u tell me where is it write that "if there is no trading in the securities of the Company, then you may write to the SE to waive the fees"
09 August 2024
When a company is in the process of delisting from a stock exchange but has not yet completed the process, the issue of listing fees for the period during which the delisting process is pending can be complex. Here’s a detailed explanation:
### **Liability for Payment of Listing Fees**
1. **Delisting Process:** - **Application and Fees**: Upon applying for delisting, the company usually needs to fulfill certain requirements, including the payment of listing fees. The fees may be required until the delisting process is completed. - **Pending Delisting**: If the delisting process has not been completed and the company remains listed on the exchange, it is typically liable to pay the listing fees for the period during which it remains listed.
2. **Fees from 2005 to 2009:** - **Liability**: Since the company applied for delisting in 2004 and the process is still pending, it is generally liable for payment of listing fees for the years during which it was still listed, including the period from 2005 to 2009. - **Documentation**: If the company has not paid the listing fees for these years, it should contact the stock exchange to determine the exact amount due and the process for payment.
3. **Waiver of Listing Fees:** - **No Trading**: If there was no trading in the securities of the company, there may be provisions for waiving or reducing the listing fees. Companies often need to provide evidence of non-trading and request the waiver from the stock exchange. - **Stock Exchange Circulars**: The exact circular or regulation on the waiver of fees might vary by stock exchange and jurisdiction. Generally, the stock exchange provides guidelines on fee waivers or reductions in cases where there is no trading.
### **Relevant Circulars and Guidelines**
1. **Stock Exchange Circulars:** - **BSE/NSE Circulars**: Both the Bombay Stock Exchange (BSE) and National Stock Exchange (NSE) may issue circulars related to listing fees and waivers. You would need to check the specific circulars issued by the relevant exchange during the period in question. - **Examples**: Circulars often cover topics like fees, penalties, and conditions for waivers. For instance, BSE or NSE may have issued circulars detailing the waiver of fees under certain conditions.
2. **Where to Find Circulars:** - **Stock Exchange Website**: Circulars and guidelines can be found on the official websites of the stock exchanges. For BSE, visit [BSE Circulars](https://www.bseindia.com/markets/MarketInfo/DispNew.aspx?newsid=61365), and for NSE, visit [NSE Circulars](https://www.nseindia.com/circulars/circularIndex.jsp).
3. **Contact the Stock Exchange:** - **Direct Inquiry**: Contact the compliance or listing department of the stock exchange where your company is listed. They can provide specific guidance on fee payments, waivers, and the status of the delisting process.
### **Summary:**
- **Listing Fees**: Your company is likely liable for payment of listing fees for the period it remained listed, including 2005 to 2009, until the delisting process is completed. - **Waiver Request**: You may request a waiver or reduction in fees due to non-trading by providing relevant documentation to the stock exchange. - **Circulars**: Check the stock exchange’s official website for circulars related to listing fees and waivers, or contact the exchange directly for specific guidance.
By following these steps, you can address the issue of outstanding listing fees and seek potential waivers if applicable.