Max Financial Services Limited Files Annual Secretarial Compliance Report for FY 2026
Max Financial Services Limited (MFSL) has released its Annual Secretarial Compliance Report for the financial year ended March 31, 2026. The report, issued by Company Secretaries Sanjay Grover & Associates, details the company’s adherence to various corporate governance standards and regulations during the review period.The report confirms that the examination covered the company's records, filings with stock exchanges, and its official website for the period up to March 31, 2026.
Summary of Compliance Status
The report assessed MFSL's compliance across multiple corporate governance areas, including Secretarial Standards, adoption of policies, and website maintenance. The company reported compliance status as 'Yes' for several key requirements, including the adoption of all applicable policies under SEBI Regulations and the timely maintenance of its website with accurate document dissemination.In areas requiring continuous attention, the company reported:
- Secretarial Standards: Compliance status marked as 'Yes', with no observations from the Company Secretary.
- Policies: Compliance status marked as 'Yes', with no observations.
- Disqualification of Director: Status marked as 'Yes'.
- Performance Evaluation: Status marked as 'Yes', confirming that the company conducted performance evaluation of the Board, Independent Directors, and Committees.
Material Allegations and Remedial Actions
The report addressed allegations concerning the company's transactions and governance structure during previous years. Specifically, the report noted allegations that MFSL was involved in fraudulent, unjust, and manipulative transactions benefiting Axis Bank and its group entities, amounting to Rs. 3,911.95 crores.These allegations, derived from an SEBI Show Cause Notice (SCN) and SEBI Inspection Report, included claims that MFSL:
- Failed to exercise due diligence in structured transactions with Axis Bank.
- Did not provide complete disclosures or updates to stock exchanges.
- Failed to ensure that its Board of Directors and Audit Committee performed their required roles as stipulated under the LODR Regulations.
- Did not ensure compliance with the Code of Conduct by its Board and senior managerial officials.
Regarding the resolution of these matters, the report detailed the following actions taken by the company:
| Aspect | Details of Allegation | Company Action Taken | Company Secretary's Comment |
|---|---|---|---|
| Transactions/Due Diligence | Allegations of fraudulent, unjust, and manipulative transactions benefiting Axis Bank and its group entities by Rs. 3,911.95 crores, and failure to exercise due diligence in structured transactions. | The company filed a detailed response with SEBI on April 08, 2025. Subsequently, consolidated written submissions were filed on September 15, 2025, and further hearings were held on November 25 and 26, 2025. | The matter remains under review, with the Company filing its response and submitting written materials. |
Key Compliance Checkpoints
The compliance report confirmed adherence in several operational and disclosure areas:| Particulars | Compliance Status | Observations / Remarks |
|---|---|---|
| Related Party Transactions | Yes | None |
| Disclosure of events or information | Yes | None |
| Prohibition of Insider Trading | Yes | None |
| Actions taken by SEBI or Stock Exchange(s) | No | No actions were taken against the Company/ its promoters/ directors, or subsidiaries by the Exchanges. |
| Resignation of statutory auditors | NA | There were no instances of resignation of statutory auditors of the Company and its material subsidiary during the Review Period. |
| Additional Non-compliances Observed | Yes | No additional non-compliance was observed for any SEBI regulation/circular/guidance note. |
MFSL Stock Price Movement
As of 11:01 AM, shares of Max Financial Services Limited are shedding 0.95% in live trading, currently trading at ₹1610. The stock moves on heavy interest, tracking a total traded volume of 143,523 shares.Disclaimer: Due care and diligence have been taken in compiling and presenting news and market-related content. However, errors or omissions may arise despite such efforts.
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