Stock exchanges BSE and NSE on Friday fined digital insurance platform Go Digit General Insurance for failing to submit certain disclosures on time.
According to the exchange filing, the company will have to pay Rs 5,000 to the exchange for not submitting the XBRL of the related party’s transactions for the half year ended on September 30 within the stipulated time.
Companies listed on public shares are expected to file related related party transaction (RPT) disclosures after the conclusion of board meetings.
Although the company submitted the RPT for the period with the company’s financial statement within 30 minutes of the meeting of the board of directors held on October 24, the XBRL was submitted on October 25 against the rules.
Founded in 2016, Go Digit General Insurance got listed on Indian stock exchanges earlier this year. It offers insurance products in health, travel, and auto segments.
The company reported a 3.2-fold increase in annual profit in the second quarter of FY2025, with total income increasing by 16.43 percent to Rs 89.47 crore.
This is not the first time that the company has come under the purview of SEBI. Insurtech’s road to an IPO was not smooth when SEBI sent back the first documents it filed in August 2022 for further information. The company was supposed to refile its documents in January 2023.
In October, Go Digital received a show-cause notice from the Insurance Regulatory and Development Authority of India for exceeding regulatory limits for the six months ended September 30.
Under the new rules cap, general insurers’ management expenses are capped at 30% of their first year’s commission.
Shares of the company closed down 1.9 percent at Rs 324.50 on the BSE on Friday.
Feature Image: Kamesh Goyal, Founder and Chairman, Ank Insurance