Securities Market

The great Indian vanishing act: Time to replicate the demat 'miracle'

Thirty years ago, an Act made physical securities disappear. Now it's time to extend it to all paperwork

Sebi bans DHFL's Kapil Wadhawan, Dheeraj Wadhawan from securities market

Markets regulator Sebi on Tuesday barred Dewan Housing Finance Ltd's former CMD Kapil Wadhawan, ex-director Dheeraj Wadhawan, and four others from the securities markets for up to five years for committing financial irregularities, diverting funds, and fabricating books. The others who have been prohibited by Sebi are -- Rakesh Wadhawan, who was non-executive chairman, Sarang Wadhawan, a former non-executive director, Harshil Mehta, joint managing director & CEO, and Santosh Sharma, a former CFO. Sebi also fined the six individuals Rs 120 crore. Kapil Wadhawan and Dheeraj Wadhawan have each been restrained from the securities markets for five years, while Rakesh Wadhawan and Sarang Wadhawan face a four-year ban, and Harshil Mehta and Santosh Sharma have been prohibited for three years, according to the Sebi order. During these periods, they cannot access the securities market, deal in securities in any manner, or hold any role such as director or key managerial personnel in ...

Sebi confirms ban on Gensol, Jaggi brothers in fund diversion case

Markets regulator Sebi on Wednesday upheld its interim order restraining Gensol Engineering and its former top executives Anmol Singh Jaggi and Puneet Singh Jaggi from the securities markets on concerns over fund diversion and corporate governance failures. Additionally, the regulator said Jaggi brothers, also co-founders of EV ride-hailing firm BluSmart Mobikity, would continue to be debarred from holding the position of a director or key managerial personnel in Gensol. The final order comes as the company undergoes insolvency proceedings under the supervision of a court-appointed professional. The brothers have been accused by Sebi of siphoning off loan funds from their publicly-listed company Gensol for personal use, raising concerns over corporate governance and financial misconduct. In a detailed confirmatory order, Sebi stated that the prima facie findings of misappropriation of funds and falsification of conduct letters to CRAs -- initially highlighted in its April 2025 inte

Sebi cracks down on Zee Business trades, slaps ₹4 cr fine; bans 4 entities

Sebi on Monday barred four entities from the securities market for two years and imposed a penalty totalling Rs 4 crore on them for executing trades based on advance information of stock recommendations given by guest experts on the Zee Business channel. "The said debarment period shall be reckoned from the date of the Interim order dated February 08, 2024," Sebi said in its 55-page final order. Individually, the regulator fined Rs 50 lakh on Partha Sarathi Dhar, Rs 75 lakh each on Manan Sharecom and Kanhya Trading Company, and Rs 2 crore on SAAR Commodities. In its order, Sebi noted that the four entities made a profit by executing trades based on advance information of stock recommendations given by guest experts. The investigation found that stock tips were pre-shared with select entities, giving them an unfair advantage over public investors. These entities placed trades in advance and booked profits once the stock prices moved following the televised tips. Evidence collected

India's retail asset-backed securities market shows potential for growth

The retail asset securitisation market is poised for moderate growth in FY26, as indicated by the volumes of ₹52,000 crore in Q1FY26 and a notable shift towards PTC issuances

Sebi warns investors about stock market scams via social media platforms

The market regulator issued the advisory statement in response to the growing number of frauds and scams that lure investors with false promises of outsize returns

IFSCA, NISM collaborate to advance capacity building in financial sector

The International Financial Services Centres Authority (IFSCA) and the National Institute of Securities Markets (NISM) on Friday inked a pact to advance capacity building in the financial sector. As part of the agreement, NISM will act as a training partner for IFSCA and the various intermediaries registered with IFSCA, the markets regulator Sebi said in a statement. Also, NISM, a public trust established by Sebi, will conduct relevant certification examinations, including certification examinations mandated under the IFSCA Regulations, for the intermediaries registered with IFSCA. These skill development, professional training and certification programmes will ensure that the highest professional standards are maintained in the IFSCA ecosystem. "With a proven track record of over a decade, NISM is uniquely positioned to support the needs arising out of the burgeoning growth being seen at IFSCA," the regulator said. This Memorandum of Understanding (MOU) will be mutually benefici

Sebi bars LS Industries, promoters for alleged stock manipulation

Cautions investors against 'blind pursuit' in companies without strong fundamentals

Sebi bars Brightcom Group chairman, whole-time director for 5 years

Chairman and whole-time director debarred from the markets for five years

Front-running case: Sebi bans 9 entities, impounds Rs 21 cr illegal gains

Markets regulator Sebi has uncovered a front-running scheme involving PNB MetLife India Insurance Company equity dealer Sachin Bakul Dagli and eight other entities, who generated illegal gains of Rs 21.16 crore. The front-running by these entities continued for more than three years. Sebi, through an interim order on Friday, prohibited Sachin Bakul Dagli and eight other entities from the securities market and impounded the unlawful gains made by them. The Securities and Exchange Board of India (Sebi) had conducted an examination into the suspected front running of the trades undertaken by the Big Client, PNB Metlife India Insurance Company Ltd, by certain entities. The focus of the investigation was to ascertain whether the suspected entity(ies) had front-run the trades of Big Client in connivance with other entities, including dealers and/or fund managers, if any, and thereby violated the provisions of the Sebi's PFUTP ( (Prohibition of Fraudulent and Unfair Trade Practices) rules

Sebi issues rules for uniform nomination standards in securities markets

Markets regulator Sebi has notified rules on nomination allowing nominees to act on behalf of incapacitated investors. Additionally, it notified the rule mandating every participant to provide beneficial owners with the option to nominate a person to whom their securities will transfer upon their death. "Every participant shall provide an option to the beneficial owner to nominate, in the manner as may be specified, a person who shall be authorised to conduct transactions on behalf of the beneficial owner in the event of the incapacitation of the beneficial owner," Sebi said in a notification. The new rules are aimed at enhancing investor convenience and introducing uniform standards for nomination facilities across the Indian securities market. In the case of joint ownership, the owners can collectively nominate a person to receive the securities in the event of death of all the joint beneficial owners. Further, the depository and participant will not be held liable for any actio

Sebi proposes overhaul of household savings calculation in securities mkt

In FY23, share of such assets came to Rs 84 trn, which was in sharp contrast to RBI's computation of Rs 23.6 trn

Sebi proposes changes in debenture trustee appointment to smoothen process

To legally validate and streamline disclosure in respect of debenture trustee appointments in offer documents, markets regulator Sebi has proposed to replace the term 'consent letter' with 'debenture trustee agreement'. The change will streamline the process for appointing debenture trustees in the issuance of securities, ensure transparency in the appointment of debenture trustees, and play a crucial role in the securities market. In a consultation paper floated on Saturday, the markets watchdog proposed replacing the term "consent letter" with "debenture trustee agreement" in Sebi's (Issue and Listing of Non-Convertible Securities) rules or NCS regulations. The debenture trustee agreement (DTA), which legally validates the appointment of a debenture trustee, is considered by the regulator to be more significant than the previously used term 'consent letter'. The change will help investors make more informed decisions when investing in debentures. Earlier, a working group noted t

Sebi proposes expansion of sustainable fin framework in securities market

Markets regulator Sebi has proposed expansion of the sustainable finance framework in the securities market by introducing a new category of financial instruments. This category will include Social Bonds, Sustainable Bonds, and Sustainability-linked Bonds in addition to the current green debt securities. It aims to provide issuers with flexibility in raising funds for projects that align with environmental, social, and governance (ESG) objectives. In a consultation paper released on Friday, Sebi proposed that issuers, in addition to existing green debt securities, be allowed to raise funds through issuance of social bonds, sustainable bonds, and sustainability-linked bonds. These bonds will collectively be known as ESG Debt Securities. This will enable issuers to raise money for more sustainable projects, assisting in closing the funding gap for the Sustainable Development Goals. Sebi said it received representations from market participants including the Confederation of Indian ..

Sebi confirms order against 12 entities including V Marc India for fraud

Sebi on Friday affirmed its earlier order with some modifications against 12 entities, including promoter of V Marc India Ltd for engaging in a fraudulent scheme to manipulate volumes and price of the company's shares. Passing a 121-page confirmatory order with some modifications, Sebi restrained 12 entities from the securities market. "I, hereby confirm the directions of the interim order dated February 28, 2024, subject to the following modification - the total liability for the alleged illegal gains to be impounded stands modified to Rs 6.30 crore as Jai Kishorr Singhal has deposited the alleged illegal gains made by him," Sebi's whole time member Ananth Narayan G said in the confirmatory order. The watchdog also noted observations made in the present order are tentative in nature and pending further investigation. The probe will be carried out without being influenced by any of the directions passed or any observation made either in the interim order or in the present order. Ba

Sebi cuts face value of debt securities to boost retail participation

Markets regulator Sebi on Wednesday drastically cut the face value of debt securities to Rs 10,000 from Rs 1 lakh at present to boost participation of retail investors in the corporate bond market. Market participants are of the view that lower ticket size of debt securities may encourage more non-institutional investors to participate in the corporate bond market which in turn may also enhance liquidity. In a circular, Sebi said, "the issuer may issue debt security or non-convertible redeemable preference shares on private placement basis at a face value of Rs 10,000". This, however, would be subject to certain conditions like the issuer should appoint at least one merchant banker, and non-convertible debentures and non-convertible redeemable preference shares be plain vanilla, interest or dividend-bearing instruments. Sebi said that credit enhancements would be permitted in such instruments. With respect to General Information Document (GID), which is valid as on the 'effective

Sebi proposes easing disclosure rules for non-convertible securities

To promote ease of doing business for issuance of non-convertible securities, Sebi on Thursday proposed removing the requirement to disclose the PAN and personal address of issuers' promoters in the offer document along with other relaxations in disclosure guidelines. The current regulatory framework of Sebi's (Issue and Listing of Non-Convertible Securities) rules or NCS norms mandates disclosure of complete profile of promoters of the issuer in the offer document, which includes disclosure of PAN, personal address among others. Additionally, the regulator, in its consultation paper, suggested relaxation in the requirement of providing certain business and commercial details in case of purchase or acquisition of immoveable property in the offer document. The Securities and Exchange Board of India (Sebi) has sought comments from the public till May 30 on the proposals in its consultation paper, the regulator has proposed that details regarding branches or units of the issuer as on t

Sebi weighs mandatory direct securities payout to client's account

To enhance operational efficiency and reduce the risk to clients' securities, markets regulator Sebi on Thursday proposed making the process of direct payout of such securities to the client's account mandatory. Currently, the clearing corporation credits the pay-out of securities in the pool account of the broker, who then credits the same to the respective client's demat accounts. Further, a facility of direct delivery to investors was introduced in February 2001. "It has been decided that the process of securities payout directly to the client account shall now be mandatory," the Securities and Exchange Board of India (Sebi) said in its consultation paper. The securities for payout should be credited directly to the respective client's demat account by the clearing corporations. Moreover, clearing corporations should provide a mechanism for Trading Member(TM)/clearing members (CM) to identify the unpaid securities and funded stocks under the margin trading facility. In case of

FPI limit in G-sec unchanged at 6% of outstanding stocks of securities: RBI

The Reserve Bank on Friday said the limits for FPI investment in government securities, state development loans and corporate bonds will remain unchanged at 6 per cent, 2 per cent and 15 per cent, respectively, of outstanding stocks of securities for the current fiscal. As of now, all investments by eligible investors in the 'specified securities' will be reckoned under the fully accessible route (FAR), the RBI said in a notification. "The limits for FPI investment in government securities (g-secs), state government securities (SGSs) and corporate bonds shall remain unchanged at 6 per cent, 2 per cent and 15 per cent, respectively, of the outstanding stocks of securities for 2024-25," it said. The allocation of incremental changes in the g-sec limit (in absolute terms) over the two sub-categories 'General' and 'Long-term' will be retained at 50:50 for 2024-25, it added. The entire increase in limits for SDLs (in absolute terms) has been added to the general sub-category of state

LIC front-running case: Sebi confirms securities market ban on 5 companies

Sebi on Tuesday confirmed a securities market ban on five entities, including an employee of Life Insurance Corporation of India (LIC), in a case pertaining to front-running trades of the state-owned insurer. Front-running refers to an illegal practice in the stock market where an entity trades based on advanced information from a broker or analyst before the information has been made available to its clients. The observations made in the present order are tentative in nature and pending further investigation. The investigation will be carried out without being influenced by any of the directions passed or any observation made either in the interim order or in the present order. Based on the outcome of the investigation, appropriate proceedings may be initiated in accordance with law, Sebi said. In a confirmatory order, Sebi clarified that the restraint imposed vide the interim order dated April 27, 2023, on Yogesh Garg, Sarita Garg, Kamlesh Agarwal, Ved Prakash HUF and Sarita Garg