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    Question

    No person shall make a public announcement of an open

    offer for acquiring shares:
    A Who is not a wilful defaulter Correct Answer Incorrect Answer
    B Who is a defaulter Correct Answer Incorrect Answer
    C Who is not a defaulter Correct Answer Incorrect Answer
    D Who is a wilful defaulter Correct Answer Incorrect Answer
    E None of these Correct Answer Incorrect Answer

    Solution

    Wilful Defaulter – Regulation 6A of SEBI SAST Regulations ·       No person who is a wilful defaulter shall make a public announcement of an open offer for acquiring shares or enter into any transaction that would attract the obligation to make a public announcement of an open offer for acquiring shares under these regulations. ·       However, this regulation shall not prohibit the wilful defaulter from making a competing offer in accordance with regulation 20 of these regulations upon any other person making an open offer for acquiring shares of the target company. ·       Therefore, for willful defaulter the only route available is making competing offer.

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