SEBI Forms Panel to Review Conflict of Interest & Disclosure Norms

The Securities and Exchange Board of India (SEBI) has formed a six-member high-level committee tasked with reviewing and improving the management of conflicts of interest and disclosures within the regulatory body. Headed by Pratyush Sinha, a retired IAS officer and former Chief Vigilance Commissioner, the committee will focus on refining the current frameworks governing investment, liabilities, and ethical conduct among SEBI board members.

Injeti Srinivas, former secretary of the Ministry of Corporate Affairs and ex-chairman of the International Financial Services Centres Authority (IFSCA), will serve as the vice chairman of the committee. Other notable members include Uday Kotak, founder of Kotak Mahindra Bank, G Mahalingam, former Executive Director of RBI, Sarit Jafa, former Deputy Comptroller and Auditor General, and R Narayanaswamy, former professor at IIM Bangalore.

The committee will assess and recommend ways to bolster transparency and accountability within SEBI’s governance. Key areas under review include improving conflict of interest management, implementing a robust disclosure framework, and ensuring the ethical conduct of board members and officials. SEBI has highlighted that the committee’s recommendations will address critical issues such as investment restrictions, disclosure of financial interests, and a process for public complaints regarding potential conflicts.

The committee is expected to submit its findings within three months, after which they will be presented to SEBI’s Board for further consideration.