Sebi to interview external applicants for executive director position

Capital market regulator Securities and Exchange Board of India (Sebi) may get two new executive directors (EDs) soon. According to the sources, 20 candidates have been lined up for final interviews for the positions, which will be held on 20 of this month.

These would be first two external appointments since new appointment rule has been implemented. As per the new rule, out of total nine EDs positions, six of the candidates would be Sebi staffers and the rest would be lateral or on deputation basis. In April, the market regulator had increased the number of ED posts to nine from eight. Sources say lots of application have come from income-tax department, banks and academics. While some of them are also from other regulatory bodies.

In June, Sebi had promoted two employees — Nagendra Parekh and Amarjeet Singh to the post of ED. They were both chief general managers previously.The seven EDs at present are: S V Murali Dhar Rao, foreign portfolio investors and collective Investment Schemes (CIS); S Ravindran, S K Mohanty and Amarjeet Singh handling different verticals of corporation finance department. P K Nagpal, human resource department; Ananta Barua is handling enforcement and adjudication department. While Parekh is heading surveillance department.

The move follows Sebi staffers lobbying for more internal promotions. They had even moved the Bombay High Court over this. However, the court had dismissed the petition, observing that Sebi has the power to make an external appointment. On April 11, Sebi Employees' Association (SEA) sought review of a rule that said the regulator had to recruit half of the EDs from outside Sebi.