The Securities Markets Code, 2025 consolidates Sebi Act, SCRA and depositories act to simplify and modernise India's market regulation framework
The code expands sebi’s board from 9 to 15 members, adding independent part-time members to bring wider expertise and external perspective
Conflict of interest definitions are widened to include indirect and family interests, with powers for the centre to remove compromised members
For most cases, investigations must begin within eight years of an alleged offence, offering clarity, except for systemic-risk or agency-referred cases
The code prioritises monetary penalties, retaining jail terms only for serious offences like market abuse, insider trading and non-compliance with orders
While the code strengthens investor protection and recognises market infrastructure institutions, clearer checks on Sebi’s expanded powers may be needed