Sebi Sets Up High-Level Panel to Review Conflict of Interest in Its Top Ranks

Doubles Threshold for FPI Disclosures

- KHUSHBOO TIWARI

Under its new chairman Tuhin Kanta Pandey, the Securities and Exchange Board of India (Sebi) has gravitated towards greater transparency and ease of doing business, setting an objective of "effective and optimum" regulation.

On Monday, during its first board meeting under Pandey, the regulator has decided to constitute a high-level committee (HLC) to review conflicts of interest and unveiled initiatives to simplify regulatory processes.

The HLC, soon to be formed, will do a comprehensive review of provisions relating to conflicts of interest, disclosures, and other matters related to top officials. This move aims to address concerns surrounding transparency at the organisation, which had faced allegations of conflict of interest against its previous chairperson.

The HLC, comprising eminent persons and experts, will submit its recommendations within three months of its formation. The suggestions will be placed before the board.

Sebi has also raised the investment threshold for granular ownership disclosures by foreign portfolio investors (FPIs) from 25,000 crore to 50,000 crore.