Not since 1966 when Cost Audit emerged that another idea could have impacted corporate management as SEBI’s Mandatory Grading. Volumes could be written on the contribution of Cost Audit to management efficiency whereas mandatory grading can be best described as for want of a good rating system opportunity, for sustainability of – efficiency, value system and profits – is frittered away.
Letter to The Chairman, SEBI – Securities and Exchange Board of India for ‘an objective risk rating system’, enjoining to create a rating system of one’s own and eliminate reliance on external ratings.
Please see below my letters to the Chairman of Sebi – Securities and Exchange Board of India during Oct. 2010 as well the one in 2007 to the then Chairman of Sebi and the then Managing Director of CRISIL. Sebi had introduced a wonderful ‘mandatory grading’ for companies that go in for IPO. Please have a look at it.
Shri C B BHAVE, Chairman
Securities and Exchange Board of India, Bandra(East), Mumbai 400051 Continue reading →