SEBI

As a quasi-judicial body how has the Securities and Exchange Board of India (Sebi) performed in fulfilling its mandate? Critically evaluate.

The Securities and Exchange Board of India (SEBI) is the regulator for the securities market in India.
SEBI has three functions: quasi-legislative, quasi-judicial and quasi-executive. It drafts regulations in its legislative capacity, it conducts investigation and enforcement action in its executive function and it passes rulings and orders resembling court in its quasi-judicial capacity.

SEBI has been under scanner by CBI for different cases such as matter related to grant of licence to MCX Stock Exchange (MCX-SX), Bank of Rajasthan (BoR) and Saradha scam. Several of its officers and decisions are being probed and has been put under intense scrutiny.
This issue raises two questions: first, upon the autonomy of SEBI and second, upon the performance of SEBI in fulfilling its mandate as a quasi judicial body.

So far as per records SEBI has enjoyed success as a regulator by pushing systematic reforms aggressively and successively. SEBI is credited for quick movement towards making the markets electronic and paperless. It has also been instrumental in taking quick and effective steps in light of the global meltdown and the Satyam fiasco. These records quite a bit proves the effectiveness of SEBI as a regulatory and quasi judicial body.

As far as unwarranted intrusion by an investigative agency is not fully justified. Just following the cases on the basis of only complaints, without going into the merits of the case, is harmful for its sanctity and affecting its productivity as the market watchdog.

The scams and other cases can also be not neglected and demands a greater accountability from SEBI along with its autonomy to function with greater efficiency.