The all-important SEBI board meeting on Saturday is likely to discuss, among other things, remuneration rules for senior management, while vetting its compliance with ‘The Companies Act’.
The capital markets regulator is also expected to discuss what additional safeguards are needed for public investors in such institutions.
Commodity market scamThe ₹5,600-crore commodity market scam, with the National Spot Exchange at its centre, will also be discussed.
Certain large brokers who were involved might be sent show-cause notices. This becomes significant particularly as SEBI now wants to issue unified broking licences to both stock and commodity brokers, after the merger of the commodity regulator FMC with SEBI.
With the Centre wanting more primary agricultural market to join the national electronic market platform, SEBI – which oversees the commodity derivatives market – is likely to discuss how to create better linkages between the spot and futures market in agri products.
It will also discuss what form a primary and secondary market for security receipts – a debt instrument issued by asset reconstruction companies during the overhaul period for a distressed asset – and how this should be regulated.
Clarifications soughtSEBI is also understood to be discuss any clarifications that might be needed regarding debenture trustee regulations and will follow up with clarifications with the Supreme Court-appointed Special Investigation Team with regards to norms for issuing participatory notes to foreign investors.