States should enact depositors’ investor protection act: SEBI

SEBI Chairman UK Sinha seeks co-operation of the State Governments in curbing “dabba trading”

Aug 26, 2014 10:08 IST India Infoline News Service

SEBI (Securities and Exchange Board of India) Chairman UK Sinha on Monday said, “States should enact depositors’ investor protection act and strengthen the enforcement mechanism.”

Speaking at a conference of the state finance secretaries, in Mumbai on Monday, Sinha sought co-operation of the State Governments in curbing “dabba trading”.

Sinha informed the gathering about some recent changes in the SEBI Act to control unauthorised deposit schemes. He sought cooperation of the State Governments in this initiative by conducting concerted investor awareness programmes and imparting training to the officials.

Chief secretaries of 15 states and finance secretaries of 27 states and nine Union Territories attended the conference.

Chief Secretaries and Finance Secretaries shared their experience and made valuable suggestions in improving the co-ordination mechanism for sharing and acting on information on unauthorised deposit taking activities under different garbs.

It was also suggested that for sharing the developments and best practices and information on dubious entities, a dedicated website for SLCC (State Level Coordination Committees) members may be created.


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