Section 11 in Securities and Exchange Board of India (Buy-Back of Securities) Regulations, 2018
11. Extinguishment of certificate and other closure compliances.
- (i) The company shall extinguish and physically destroy the securities certificates so bought back in the presence of a registrar to issue or the Merchant Banker and the Statutory Auditor within fifteen days of the date of acceptance of the shares or other specified securities.Provided that the company shall ensure that all the securities bought-back are extinguished within seven days of expiry of buy-back period.Explanation. - The aforesaid period of fifteen days shall in no case extend beyond seven days of expiry of buy-back period.(ii)The shares or other specified securities offered for buy-back if already dematerialised shall be extinguished and destroyed in the manner specified under the Securities and Exchange Board of India (Depositories and Participants) Regulations, 1996, and the bye-laws, the circulars and guidelines framed thereunder.(iii)The company shall, furnish a certificate to the Board certifying compliance as specified in subregulation(i)above, and duly certified and verified by:(a)the registrar and whenever there is no registrar, by the merchant banker;(b)two directors of the company, one of whom shall be a managing director, where there is one; and(c)the statutory auditor of the company,This certificate shall be furnished to the Board within seven days of extinguishment and destruction of the certificates.(iv)The company shall furnish the particulars of the securities certificates extinguished and destroyed under sub-regulation (i), to the stock exchanges where the shares of the company are listed within seven days of extinguishment and destruction of the certificates.(v)Where a company buys back its shares or other specified securities under these regulations, it shall maintain a register of the shares or securities so bought, the consideration paid for the shares or securities bought back, the date of cancellation of shares or securities, the date of extinguishing and physically destroying the shares or securities and such other particulars as may be prescribed in sub-section (9) of section 68 of the Companies Act.
