Cabinet may approve changes to Sebi Act tomorrow

The Cabinet is likely to approve the proposed amendments in existing norms related to selection of Presiding Officer of the Securities Appellate Tribunal, tomorrow.

"At its meeting scheduled for tomorrow, the Cabinet is expected to take up the issue of amending the Securities and Exchange Board of India Act, 1992, with regard to selection of SAT Presiding Officer," a source said.

A statutory body, SAT has been set up to hear appeals against orders passed by the Securities and Exchange Board of India. The post of SAT Presiding Office has been lying vacant since November 28, 2011.

In September, the Finance Ministry had invited applications to fill the vacancy of SAT Presiding Officer.

SAT is required to have a Presiding Officer and two other Members, to be appointed by the central government.

The SAT member would have a five-year tenure and would be eligible for re-appointment, subject to a maximum age of 62 years.

As per the Finance Ministry, a member of Sebi or any other person holding a senior management level equivalent to Executive Director at the market regulator would not be eligible to be appointed as SAT member during his service and for up to two years of the date on which he ceases to hold office.

The candidate should have special knowledge or experience of law such as corporate and securities, finance, economics, accountancy.