2. 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.
 Its main function is to stop fraudulent activities of
stock market.

3. SECURITIES AND EXCHANGE
BOARD OF INDIA ACT, 1992
 An Act to provide for the establishment of a Board
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.

4. SEBI INTRODUCTION
• Formed: 12 April, 1992
• Jurisdiction: Government of India
• Headquarters: Mumbai, Maharashtra
• Employees: 525 (in 2009)
• Website: www.sebi.gov.in

5. OFFICIAL WEBSITE OF SEBI

6. SEBI HEADQUARTER

7. BOARD MEMBERS
Mr. U. K. Sinha
(Chairman)
Mr. Parshant Saran
(Whole-Time member)
Mr. V. K. Jairath
(Member Appointed)

8. ORGANISATION CHART
NAME DESIGNATION
Upendra Kumar Sinha Chairman
Prashant saran Whole-Time Member
CA. T. V. Mohandas Pai Director, Infoysis
Joint Secretary, Ministry of
Dr. Thomas Mathew
Finance
V. K. Jairath Member Appointed
Deputy Governor, Reserve
Anand Sinha
Bank of India

9. LIST OF FORMER MEMBERS
Name From To
C. B. Bhave 18 February 2008 18 February 2011
M. Damodaran 18 February 2005 18 February 2008
G. N. Bajpai 20 February 2002 18 February 2005
D. R. Mehta 21 February 1995 20 February 2002
S. S. Nadkarni 17 January 1994 31 January 1995
G. V. Ramakrishna 24 August 1990 17 January 1994
Dr. S. A. Dave 12 April 1988 23 August 1990

10. HISTORY OF SEBI
 Initially SEBI was a non statutory body without
any statutory power.
 However in 1995, the SEBI was given additional
statutory power by the Government of India
through an amendment to the securities and
Exchange Board of India Act 1992.
 In April, 1998 the SEBI was constituted as the
regulator of capital market in India under a
resolution of the Government of India.

11. ROLE OF SEBI IN MUTUAL FUNDS
 SEBI notified regulations for the mutual funds in
1993.
 SEBI has also issued guidelines to the mutual funds
from time to time to protect the interests of
investors.
 All mutual funds whether promoted by public sector
or private sector are governed by SEBI.

12. ROLE OF SEBI IN IPO
 The rules, regulations and procedures relating to
public issues in India are governed by SEBI.
 Any company going public in India should get
approval from SEBI before opening its IPO.
Issuer company's lead managers submit the public
issue prospectus to SEBI, provide clarification,
make changes to the prospectus suggested by
SEBI and get it approve.
 SEBI validate the IPO and make sure that
document has enough information to help
investors to take decision before applying shares
in an IPO.

13. FUNCTIONS OF SEBI
(1) SEBI performs following functions:
a) Regulating the business in stock exchanges and
any other securities markets.
b) Registering and regulating the working of stock
brokers, sub-brokers, share transfer agents,
bankers to an issue, trustees of trust deeds,
registrars to an issue, merchant bankers,
portfolio managers, investment advisers.

14. FUNCTIONS Cont…
c) Prohibiting fraudulent and unfair trade practices
relating to securities markets.
(2) The duty of the Board to protect the interests of
investors in securities and to regulate the
securities market.
(3) Board have some powers as issuing commissions
for the examination of witnesses or documents.

15. RESPONSIBILITIES OF SEBI
 SEBI has to be responsive to the needs of three
groups, which constitute the market:
a. the issuers of securities
b. the investors
c. the market intermediaries
 SEBI has three functions rolled into one body:
quasi-legislative, quasi-judicial and quasi-executive.

16. POWERS OF SEBI
 Investigation:
I. inspect the books of accounts and call for periodical returns
from recognized stock exchanges.
II. inspect the books of accounts of a financial intermediaries.
III. compel certain companies to list their shares in one or more
stock exchanges.
 Cease and desist proceedings:
I. prosecute and judge directly the violation of certain
provisions of the companies Act.

17. DEPARTMENTS OF SEBI
1. Market Intermediaries Regulation and
supervision Department (MIRSD)
2. Market Regulation Department (MRD)
3. Derivatives and New Product Department
(DNPD)
4. Corporation Finance Department (CFD)
5. Investment Management Department (IMD)
6. Integrated Surveillance Department (ISD)
7. Investigation Department (IVD)
8. Legal Affairs Department (LAD)

18. PROTECTION GUIDELNES GIVEN
BY SEBI
 Eligibility Norms For Companies Issuing Security:
No company shall make any issue of a public issue of securities, unless
a draft prospectus has been filed with the Board, through an eligible
Merchant Banker, at least 21 days prior to the filing of Prospectus with
the Registrar of Companies (ROCs).
 Pricing By Companies Issuing Securities:
A listed company whose equity shares are listed on a stock exchange,
may freely price its equity shares and any security convertible into
equity at a later date, offered through a public or rights issue.

19. GUIDELINES Cont…
 Pre issue Obligations:
The standard of due diligence shall be such that the merchant banker
shall satisfy himself about all the aspects of offering, veracity and
adequacy of disclosure in the offer documents.
 Contents of Offer Document:
Prospectus shall also contain all material information which shall be
true and adequate so as to enable the investors to make informed
decision on the investments in the issue.

20. RECENT NEWS ABOUT SEBI
(Oct 3, 2011)
 SEBI panel to revisit norms for IPOs, mutual funds 
• The Securities and Exchange Board of India (SEBI) has
decided to go for a comprehensive review of the primary
market processes and norms governing the mutual fund
industry.
• The initial public offer process review will involve further
reducing the time between closure of an issue and listing.
At present, listing has to be made within 12 days. To help
investors make informed judgment, SEBI has already
asked merchant bankers (issue managers) to reduce the
size of the application form for IPOs and disclose their
track record of the issues managed and their performance.

21. Cont…
• “We want to review the process further since our basic
approach is to make life easier for retail investors,” top
sources in SEBI said. SEBI is also looking at cutting down
the number of days it takes to clear IPO applications.
• SEBI’s role will come after the committee submits its
recommendations.
• It has been felt there is a need to improve buying and
selling of mutual fund units on the floor of stock exchanges
and expanding the base of investors in mutual funds.

22. BIBLIOGRAPHY
www.sebi.gov.in/
www.sebi.gov.in/Index.jsp?contentDisp=AboutSEBI
www.sebi.gov.in/acts/act15ac.html

24. Queries, if any, are welcome…