Mumbai, June 25: Sebi on Tuesday introduced an "informal guidance" scheme 2003 for Sebi-registered intermediaries and listed companies seeking advice on applicability of acts, rules, regulations administered by the market regulator. The entity seeking informal guidance should pay Rs 25,000 as a fee and disclose, analyse all material facts and mention all applicable legal provisions, a Sebi release said.
The regulator's guidance may be in the form of 'no action letters' in which a department of Sebi indicates that it would not recommend any action under legal provision to the Board if the proposed transaction described in the request is consummated.

Another form of informal advice could be interpretive letters—Sebi’s department would provide an interpretation of any specific legal provision administered by Sebi in the light of a particular factual situation.
The guidance offered under the scheme should not be construed as an order of the board. It would not be appealable either, the release said. Bureau Report