NSE and BSE trading being monitored constantly: Finance Ministry

Arjun Ram Meghwal, Minister of State in the Ministry of Finance stated in Rajya Sabha on Tuesday that the Government, Securities and Exchange Board of India (SEBI) and Stock Exchanges maintain constant vigil in the market, and in case of any abnormality, take appropriate action against the concerned entities.

As per the information provided by SEBI, the total number of investor account with both the depositories, namely National Securities Depository Limited (NSDL) and Central Depository Services (India) Limited (CDSL), as on 31st December, 2016, is 2,70,55,717 with a demat custody value of Rs. 2,82,81,225 crores.

Further, the total annual turnover at National Stock Exchange (NSE) and Bombay Stock Exchange (BSE) for the Financial Year 2016-17 stood at Rs. 39,75,484 crores and Rs. 6,34,934 crores respectively, up to January 27, 2017. As on the aforementioned date, the total Market Capitalisation at NSE and BSE is Rs. 1, 11, 84,067 crores and Rs. 1, 13, 87,346 crores respectively.

The Minister further stated that there are a number of provisions in the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 (Listing Regulations) pertaining to submission of financial results so as to ensure that companies submit accurate financial information.

These include submission of the financial results by listed companies in the prescribed formats to ensure uniformity in disclosures, certifying that the financial results do not contain any false or misleading information, timely submission of the audit reports to the stock exchange(s) by certified auditor along with a statement on the impact of any Audit Qualifications raised by the Auditors on financial results, preparation of financial results as per Generally Accepted Accounting Principles and so on.

In order to enable investors to make well-informed investment decisions, various comprehensive disclosure requirements on a continuous basis have been prescribed under Listing Regulations to ensure timely, adequate and accurate disclosure of information to the investors.

Certain disciplinary actions have also been prescribed under Listing Regulations for violation of these provisions including imposition of fines and freezing of promoter holdings. Further, SEBI conducts investor education and awareness activities across the country, to enable investors take informed investment decisions.