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Can u share some details on the organisation SEBI?How is it linked to share market?
SEBI stands for Securities and Exchange Board of India. SEBI regulates the securities market in India. Established by the Government of India in the year 1988, it was given statutory powers on 12th April, 1992, through the SEBI Act, 1992. It has its headquarters in Mumbai. It is managed by its members consisting of The Chairman who is nominated by the Union Government of India, two officers from Union Finance Ministry, One member from the RBI, and the other five members nominated by the Union Government of India, out of them at least 3 shall be whole-time members.

SEBI is responsible to the needs of three groups, which constitute the share market:

    (i) the issuers of securities
    (ii) the investors
    (iii) the market intermediaries.

SEBI's functions are:
1. Quasi-legislative - It drafts regulations in its legislative capacity.
2. Quasi-judicial - it conducts investigation and enforcement action in its executive function.
3. Quasi-executive - it passes rulings and orders in its judicial capacity.

Though this makes it very powerful, there is an appeal process to create accountability. 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.


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