U K Sinha to get 2-year extension

Sinha who would continue to head Sebi till 2016 to provide continuity and orders to this effect may be issued soon

Securities & Exchange Board of India (Sebi) Chairman U K Sinha is set to get a two-year extension, after his three-year term at the market regulator comes to an end.

Officials said Sinha would continue to head Sebi till 2016 to provide continuity. Orders to this effect might be issued soon.

“The file proposing a two-year extension has gone to the Appointments Committee of the Cabinet,” said a finance ministry official, asking not to be named.

This is an achievement for Sinha, the eighth chairman of Sebi, considering none of its past three chiefs — C B Bhave, M Damodaran and G N Bajpai — managed to get extension.  

The move comes at a time when markets are impacted by global cues and the country is going for general elections, possibly by the middle of April.

At Sebi, Sinha has been instrumental in taking steps for the revival of the mutual fund industry, introduction of electronic initial public offerings, new category of foreign investors and more stringent corporate governance norms among other decisions.

Prior to this, Sinha was chairman & managing director of UTI Asset Management Company. A former Indian Administrative Services officer from the Bihar cadre, Sinha brings with him several years of experience in the financial sector.

He worked in the finance ministry between 2002-2005 as joint secretary, looking after capital markets, external commercial borrowing, pension reforms and foreign exchange management.

He was responsible for drafting the Sebi (Amendment) Act, 2002, UTI (Repeal) Act, 2002, the Securities Law Amendment Act, 2004, and the PFRDA Bill, 2005. He also worked as joint secretary in the banking division, dealing with financial institutions.

He has been on the board of directors of SIDBI, IFCI, Bank of Baroda, Central Bank of India, UTI AMC and the Pension Funds Regulatory & Development Authority.