UPSC Articles
Securities and Exchange Board of India
Part of: Prelims and GS-III Economy
Context the Securities and Exchange Board of India, approved a ceiling of 35% on the Initial Public Offering (IPO) proceeds to be used to make unspecified acquisitions.
The Securities and Exchange Board of India (SEBI)
- It is the regulator of the securities and commodity market in India owned by the Government of India.
- It was established in 1988 and given statutory status through the SEBI Act, 1992.
- SEBI is responsible to the needs of three groups:
- Issuers of securities
- Investors
- Market intermediaries
- Functions:
- Quasi-legislative – drafts regulations
- Quasi-judicial – passes rulings and orders
- Quasi-executive – conducts investigation and enforcement action
- Powers:
- To approve by−laws of Securities exchanges.
- To require the Securities exchange to amend their by−laws.
- Inspect the books of accounts and call for periodical returns from recognised Securities exchanges.
- Inspect the books of accounts of financial intermediaries.
- Compel certain companies to list their shares in one or more Securities exchanges.
- Registration of Brokers and sub-brokers
