Securities and Exchange Board of India
- Recently, SC has called for SEBI response over Adani stock fall.
- It is the regulatory body for securities and commodity markets in India.
- It comes under the ownership of the Ministry of Finance.
- Establishment Of SEBI ➔ Securities and Exchange Board of India was constituted as a non-statutory body or executive body on April 12, 1988 through a resolution of the Government of India.
- It was established as a statutory body in the year 1992 and the provisions of the Securities and Exchange Board of India Act, 1992 came into force on January 30, 1992.
- SEBI regulates the Indian financial market through its 20 departments.
- SEBI is a quasi-legislative and quasi-judicial body which can draft regulations, conduct inquiries, pass rulings and impose penalties.
- Headquarters ➔ Mumbai, Maharashtra.
- Basic functions ➔
- to protect the interests of investors in securities and
- to promote the development of and to regulate the securities market and for matters connected to it.
- Appeal Process ➔
- Though SEBI is powerful, there is an appeal process to create accountability.
- There is a Securities Appellate Tribunal which is a three-member tribunal
- A second appeal lies directly to the Supreme Court.
- Composition ➔
- The chairman is nominated by the Union Government of India.
- Two members, i.e Officers from the Union Finance Ministry.
- One member from the Reserve Bank of India.
- The remaining five members are nominated by the Union Government of India, out of them at least three shall be whole-time members.
- Note ➔ Madhabi Puri Buch is the first woman chairperson of SEBI.