Proactively made all disclosures, recusals: Sebi WTM on Cong's charges

Ananth Narayan, whole-time member (WTM), the Securities and Exchange Board of India (Sebi), has responded to allegations of conflict of interest due to personal investments.

 

He emphasised that industry professionals entering the regulatory space typically have pre-existing assets and investments.

 

Narayan assured that he has made all necessary disclosures and followed recusal procedures to manage potential conflicts.

 

“I will continue to strictly adhere to all Sebi Regulations and Code of Conduct,” said Narayan.

 

He has addressed specific allegations regarding rental income from a tenant who is an employee of a stockbroker and his ownership of shares in Proud Securities and Credits (now Incred Capital).

 

 

He clarified that the rental agreement was executed at arm's length and fully disclosed to Sebi, with recusal from related matters.

 

“The rental agreement in question, for a property jointly held with my wife (my share being 50 per cent), was executed at arm’s length with an individual who happens to be employed by a stockbroker. All of this (including the rental agreement and the broking connect) was fully and proactively disclosed to Sebi. Along with the full preemptive disclosure, I have recused myself from all matters pertaining to this stockbroker, and no such matters have ever come before me,” he said.

 

This development follows earlier allegations raised by the Congress regarding Sebi chairperson Madhabi Puri Buch and husband Dhaval Buch's investments, employee stock ownership plans (ESOPs) and advisory firms.

 

The couple had previously rebutted these allegations.

 

Before joining Sebi, Narayan worked with Citibank, Deutsche Bank, and Standard Chartered Bank.