Section 4 in Securities and Exchange Board of India (Credit Rating Agencies) Regulations, 1999
4. Promoter of credit rating agency.
- The Board shall not consider an application under regulation (3) unless the applicant is promoted by a person belonging to any of the following categories, namely:(a)a public financial institution, as defined in section 4 A of the Companies Act, 1956 (1 of 1956);(b)a scheduled commercial bank included for the time being in the second schedule to the Reserve Bank of India Act, 1934 (2 of 1934);(c)a foreign bank operating in India with the approval of the Reserve Bank of India;(d)[ a foreign credit rating agency incorporated in a Financial Action Task Force (FATF) member jurisdiction and recognised under their law, having a minimum of five years experience in rating securities;] [Substituted by Notification No. SEBI/LAD-NRO/GN/2018-15. dated 30.5.2018 (w.e.f. 7.7.1999).](e)any company or a body corporate, having continuous net worth of minimum rupees one hundred crores as per its audited annual accounts for the previous five years prior to filing of the application with the Board for the grant of certificate under these regulations.
