SEBI constitutes Committee on fair market conduct
Published: Aug 02, 2017
By TIOLCORPLAWS News Service
MUMBAI, AUG 02, 2017: SINCE securities market environment is dynamic, its periodic review of Regulations and surveillance mechanisms is of utmost importance. In order to effectively discharge its obligations, SEBI has constituted a "Committee on Fair Market Conduct" under the chairmanship of Mr. T.K. Viswanathan, Ex-Secretary General, Lok Sabha and Ex Law Secretary. The other members of the committee are the representatives of law firms, mutual funds, retail brokers, institutional brokers, forensic auditing firms, Foreign Portfolio Investors, stock exchanges, chambers of commerce, data analytics firms and SEBI.
Terms of Reference of the committee includes identification of opportunities for improvement in SEBI (Prohibition of Insider Trading) Regulations, 2015 and SEBI ( Prohibition of Fraudulent and Unfair Trade Practices relating to Securities Markets) Regulations, 2003 more particularly with respect to Trading plans, handling of UPSI during Takeovers and align Insider Trading Regulations to Companies Act provisions.The committee will suggest short term and medium term measures for improved surveillance of the markets as well as issues of High Frequency Trades, harnessing of technology and analytics in surveillance. The committee will also suggest evidentiary issues in anti fraud enforcement.The committee is expected to submit the report within a period of four months.