IL&FS effect: How relationship between regulator and regulated will change

Three key regulators - RBI, Sebi and MCA - are out to change their equation with those regulated

Take a look at two recent isolated incidents that could be a portent of how the relationship between the regulator and those regulated will change in the coming months, post the IL&FS incident.

On May 20, after a meeting of its central board in Chennai, the Reserve Bank of India announced setting up of a supervisory cadre to deal with growing complexities and inter-connectedness within the Indian financial sector. Currently, there are three supervisory departments in the RBI -- department of banking supervision, department of co-operative banking supervision and department of non-banking supervision. The regulator said these departments will be merged