UPSCpedia: Economedia - Securities and Exchange Board of India

• The Securities and Exchange Board of India is the regulator for the securities market in India.
• It was formed officially by the Government of India in 1992 with SEBI Act 1992
• SEBI is headquartered in the business district of in Mumbai, and has Northern, Eastern, Southern and Western regional offices in New Delhi, Kolkata, Chennai and Ahmedabad.
  
• Upendra Kumar Sinha was appointed chairman on 18 February 2011 replacing C. B. Bhave.
• SEBI has to be responsive to the needs of three groups, which constitute the market:
  • the issuers of securities
  • the investors
  • the market intermediaries.
• SEBI has three functions rolled into one body: quasi-legislative, quasi-judicial and quasi-executive.
• There is a Securities Appellate Tribunal which is a three-member tribunal and is presently headed by a former Chief Justice of a High court - Mr. Justice NK Sodhi. A second appeal lies directly to the Supreme Court.
• For the discharge of its functions efficiently, SEBI has been invested with the necessary powers which are:
  1. to approve by−laws of stock exchanges.
  2. to require the stock exchange to amend their by−laws.
  3. inspect the books of accounts and call for periodical returns from recognised stock exchanges.
  4. inspect the books of accounts of a financial intermediaries.
  5. compel certain companies to list their shares in one or more stock exchanges.
  6. levy fees and other charges on the intermediaries for performing its functions.
  7. grant licence to any person for the purpose of dealing in certain areas.
  8. delegate powers exercisable by it.
  9. prosecute and judge directly the violation of certain provisions of the companies Act.