Sebi Debars 1,350 Entities for Manipulations
Stock exchanges have also suspended trading in 200 shares of listed companies
New Delhi: Putting to use alerts generated by its robust surveillance mechanism, regulator Sebi has debarred nearly 1,350 entities from the markets for misusing exchange platform to evade taxes and other manipulations.
Stock exchanges have also suspended trading in nearly 200 shares of listed companies while trade has been restricted in more than 150 other stocks as part of their own surveillance measures. The coordinated efforts of the Securities and Exchange Board of India (Sebi) and stock exchanges have resulted in an effective surveillance of the securities market, a senior official said.
“The regulator’s efforts to maintain market integrity and to protect the interests of investors have resulted in greater confidence and trust of investors in the Indian market. This will go a long way in bringing even more participa- tion of investors, especially retail investors,” he added.
Sebi and stock exchanges constantly monitor and take surveillance actions based on alerts generated by a robust ‘alert generation system’ and on the basis of other inputs received from various sources including investigative agencies and government departments.
“The regulator is in constant touch with stock exchanges and in full coordination they have carried out various actions such as debarment of entities, suspension of scrips, halting payout of funds, reduction in circuit filters, etc, as part of their surveillance measures to protect the integrity of the market,” the official added.
Sebi’s Integrated Surveillance Department receives information from a number of sources such as media scanning, IB reports, SCORES (Sebi’s online complaint redresssal system), Suspicious Transaction Report and exchanges. This is in addition to Sebi’s Integrated Market Surveillance System and Data Warehousing and Business Intelligence System systems, which form the core of the alert generation process. More than 100 alerts are generated on an average every day, which are processed further and acted upon.