SEBI Conflict of Interest Panel: Key Reforms Approved
Why in the news
SEBI accepted important panel proposals aimed at better governance, transparency and ease of doing business.
| Area | Decision |
|---|---|
| Monitoring | Digital systems to track conflicts |
| Institutions | Office of Ethics and Compliance; Oversight Committee on Ethics |
| Board rules | Separate regulations for SEBI board members |
| Fit and proper | Disqualification only for economic offences, securities-law violations or moral turpitude |
| FPIs | Net settlement instead of gross |
Key facts
- Fit-and-proper simplification covers exchanges, depositories and clearing corporations.
- Netting lets purchases be offset against sales, cutting costs and capital needs.
- Lower ₹1,000 entry aims at retail participation and inclusive finance.
Exam angle
- Panel: High-Level Committee on Conflict of Interest.
- Numbers: ₹2 lakh reduced to ₹1,000.