In a significant move, market regulator SEBI on Friday came out with revised KYC norms for foreign investors. The board has accepted recommendations of HR Khan Committee on FPIs, SEBI said. Certain categories of FPIs would be required to maintain a list of beneficial owners and provide the same to the regulator. "Category II and III FPIs registered prior to this circular (existing FPIs) should provide the list of BOs and applicable KYC documentation within six months," Sebi said in a circular. In its board meet held earlier this week, stock markets regulator SEBI had said that revised circular on KYC norms for FPIs will be issued shortly. Notably, SEBI had initiated a public consultation process for finalising the new guidelines, after a high-powered panel suggested changes on several contentious proposals and more time for compliance. Earlier this month, FPI-lobby groups raised concerns that the SEBI circular on KYC norms regarding FPI investments would lead to outflows of $75 billion and lead to a further rupee plunge and stock market crash; the regulator responded saying that such a claim is irresponsible. The move is expected to improve ease of doing business. Tyagi had earlier said that the proposed Know Your Client (KYC) requirements and eligibility conditions for Foreign Portfolio Investors (FPIs) were discussed by the board. The discussions came against the backdrop of the circular issued on April 10, 2018 and the recommendations of the Working Group headed by former RBI Deputy Governor H R Khan. \u201cThe proposed draft circular and proposed amendments in Sebi (FPI) Regulations, 2014 were discussed by the board and broadly agreed upon. The revised circular, in this regard, will be soon issued separately,\u201d he had also said. The panel headed by Khan had suggested allowing NRIs, OCIs (Overseas Citizens of India) and RIs (Resident Indians) to be allowed to hold non-controlling stake in FPIs and no restriction should be imposed on them to manage non-investing FPIs or Sebi-registered offshore funds, as also in case of registered investment managers.