Security and exchange board of India. By - Siddhant Kumar Behera

1. FINANCIAL
INSTITUTION &
MARKET

2. BY:-

3. CONTENTS
Introduction
 History
 Establishment of SEBI
 Organization Structure
 Objectives
 Roles & Power
 Functions
 Reviews of SEBI
 SEBI role in Indian Economy
 Preamble & Mission


4. SEBI

The Securities and Exchange Board
Of India (SEBI) is the regulator
for the securities market in India.
It was formed officially by the
government of India in 1992 with
SEBI Act 1992 being passed by the
Indian Parliament.

5. HISTORY:

The Securities and Exchange Board
of India was established by the
government of India on 12 April
1988 as an interim administrative
body to promote orderly and
healthy growth of the securities
market and for investor
protection.

It was to function under the
overall administrative control
of the Ministry of Finance of the

6. ESTABLISHMENT OF SEBI
 The
Securities and
Exchange Board of India
was established on
April 12, 1992 in
accordance with the
provisions of the
Securities and Exchange
Board of India Act, 1992.

7. Organization Structure



The activities of SEBI have been
divided into 5 operational
departments.
Each department is headed by an
Executive Director
Apart from its head office at Mumbai
SEBI has regional offices in Kolkata,
Chennai, Delhi to attend to investor
complaints and talk with the issuers,
intermediaries and stock exchanges
in the concerned region.

8. BOARD MEMBERS
Shri U. K. Sinha
Chairman, SEBI,
SEBI Bhavan, Bandra Kurla Complex,
Bandra (E), Mumbai - 400051.
Shri Prashant Saran
Whole-Time Member, SEBI,
SEBI Bhavan, Bandra Kurla Complex,
Bandra (E), Mumbai - 400051.
Shri Rajeev Kumar Agarwal
Whole-Time Member, SEBI,
SEBI Bhavan, Bandra Kurla Complex,
Bandra (E), Mumbai - 400051

9. Dr. Thomas Mathew
Joint Secretary (Capital Markets),
Department of Economic Affairs,
Ministry of Finance
New Delhi
Shri V. K. Jairath
194 B Kalpatru Horizon,
S.K. Ahire Marg, Worli,
Mumbai 400018
Shri Anand Sinha
Deputy Governor
Reserve Bank of India
Shri Naved Masood
Secretary,
Ministry of Corporate Affairs

10. HEAD OFFICE OF SEBI
o It
is located in Mumbai.
Plot No. – C4 – A, (G)
Block,
Bndra Kurla Complex,
Bandra
( East ) Mumbai 400051
Tel - + 91- 22- 2644900

11. BRANCH OFFICES
North – New Delhi &
Chandigarh.
South – Chennai, Bengaluru,
Hyderabad &
Kochi.
East – Kolkata, Guwahati,
Bhubneshwar &
Patna.

12. Objectives Of SEBI :INVESTOR
PROTECTION
CHECKING FOR
INSIDER
TRADING
REGULATION
OF STOCK
MARKET.
CONTROL OVER
FINANCIAL
INTERMEDIATE.

13. Roles &Power
 Specifying
rules and
regulations.
 Providing license to dealers
& brokers.
 Controlling merging ,
acquisitions & take over.
 Auditing the performance of
stock exchanges.
 Stopping fraudulent

14. Function of SEBI

SEBI is expected to regulate the business in
stock exchanges and any other securities
market.

Registering and regulating the working of
collective investment schemes, including
mutual funds is a responsibility of SEBI.

SEBI is responsible for prohibiting
fraudulent and unfair trade practices
relating to securities markets.

Prohibiting insider trading in securities,
with the imposition of monetary penalties,
on erring market intermediaries.

15. Continued …
Promoting investors education &
training of intermediaries in
securities market.
 Prohibiting insiders trading in
securities.
 Regulating substantial acauisition
of shares & take 0ver of
companies.
 Calling for information,
undertaking inspection,
conducting enquiries & audits of


16. REVIEW OF SEBI
Disclosures
Settlement
Badla
Trade
Special Watch
Single Authority
Stricker Registration
of Brokers

17. CONTINUED . . .
 Disclosures
: - SEBI enforces strict laws
on disclosures. SEBI checks and ensures to
the Stock Exchange that weather all the
companies have given their unaudited
financial reports & balance sheets to the Stock
Exchange or not.

Settlement : - SEBI takes care of the
settlement. NSCCL (National Securities
Clearing Corporation Limited) & it has the
responsibility of settlement. It acts as buyer to
every seller, and seller to every buyer, it deals
with funds and securities pay in and pay out.

18. Continued . . .
 BADLA TRADE : - It is the transfer of
trading from one person to another. If one person
does’nt have Funds/ Securities, he can ask any
other person to trade on behalf of him and he
pays the person later.
 Special watch : - SEBI has a special
watch on huge investoes like banks, companies
and foreign investors so that transparency
between all the companies & investors is
maintained.

19. CONTINUED . . .

SINGLE AUTHORITY : - SEBI is the single
authority, it is the regulating authority in market,
i.e. no other authority can supervise over it. It
makes rules, laws for the different market’s that
it looks after.
 STRICKER
REGISTRATION OF BROKER : -
The brokers needs to be registered with SEBI
and clear the certification modules in order to
be eligible to trade as a broker, if not, strict
action is taken against the brokers, he could
also be suspended.

20. ROLE OF SEBI IN INDIAN
ECONOMY
 SEBI
is the primary
governing / regulating body
for the securities market in
India. All transactions in the
securities market in India
are governed, looked after
& regulated by SEBI.

21. PREAMBLE

The Preamble of the Securities and
Exchange Board of India describes
the basic functions of the Securities
and Exchange Board of India as

"...to protect the interests of
investors in securities and to
promote the development of,
and to regulate the securities
market and for matters
connected therewith or
incidental thereto"

22. Mission of SEBI
 Securities & Exchange Board of India
(SEBI) formed under the SEBI Act, 1992 with
the prime objective of
◦ Protecting the interests of investors
in securities,
◦ Promoting the development of, and
◦ Regulating, the securities market and
for matters connected therewith or
incidental thereto.’
NOTE:
Focus being the greater investor
protection, SEBI has become a

23. THANK YOU

24. Queries Are
Welcome !!!
Queries are
Welcome !!!