OBJECTIVES OF SEBI

1. Regulation of Stock Exchanges:

The first objective of SEBI is to regulate stock exchanges so that
efficient services may be provided to all the parties operating there.

2. Protection to the Investors:

The capital market is meaningless in the absence of the investors.
Therefore, it is important to protect the interests of the investors.
The protection of the interests of the investors means protecting them
from the wrong information given by the companies in their prospectus,
reducing the risk of delivery and payment, etc. Hence, the foremost
objective of the SEBI is to provide security to the investors.

3. Checking the Insider Trading:

Insider trading means the buying and selling of securities by
those peoples directors promoters, etc. who have some secret
information about the company and who wish to take advantage
of this secret information.
This hurts the interests of the general investors. It was very
essential to check this tendency. Many steps have been taken to
check inside trading through the medium of SEBI.
4. Control over Brokers:
It is important to keep an eye on the activities of the broker and
the other middlemen in order to control the capital market. To
have a control the capital over them, it was necessary to
establish the SEBI.

ORGANISATION OF SEBI
SEBI has five departments they are:
1. Primary Market Department:
The primary market department deals with the policy matters and
regulatory issues of primary market and the market intermediaries and
the redressal of investors grievances.
2. Issue Management Intermediaries Department:
The issue management Intermediaries Department looks after vetting of
offer documents, registration, regulation and monitoring of issues related
to intermediaries.
3. Secondary Market Department:
The Secondary Market Department is entrusted with policy matters and
regulatory issues of the secondary market such as price monitoring,
insider trading and kerb trading. It also looks after the administration of
major stock exchanges and all other related things.
4. Institutional Investment Department:
The Institutional Investment Department frames policy for Foreign
Institutional Investors (FIIs) and mutual funds. It also looks after
mergers and acquisition.
5. Advisory committee:
The department of Advisory committee provides advisory inputs
framing policies and regulations for primary and secondary markets.

STRUCTURE OF SEBI

The affairs of SEBI shall be managed by a Board. The Board shall

consist of the following members:
i. A Chairman.
ii. Two officials of the Central Government from the Ministry of Finance
and Ministry of Law, Justice and Company Affairs.
iii. One official nominated by the Reserve Bank of India.
iv. Two other members nominated by the Central Government.
The Chairman and the members should be persons of ability, integrity
and standing who have shown capacity in dealing with problems of the
securities market. They are required to have good knowledge or
experience in the areas of finance, law, economics, accountancy,
administration, etc.
Upendra Kumar Sinha was appointed chairman on 18 February
2014replacing C. B. Bhave

The Board comprises

Name

Designation

Upendra Kumar Sinha

Chairman

Nishant Rathi

Whole Time Member

Rajeev Kumar Agarwal

Whole Time Member

S Raman

Whole Time Member

Prakash Chandra

Joint Secretary, Ministry of Finance

V. K. Jairath magya

Member Appointed

Anand Sinha

Deputy Governor, Reserve Bank of India

Naved Masood

Secretary, Ministry of Corporate Affairs

Raje Kumar

Part Time Member

List of former Chairmen:

Name

From

To

U.K. Sinha

18 February 2011

present

C. B. Bhave

18 February 2008

18 February 2011

M. Damodaran

18 February 2005

18 February 2008

G. N. Bajpai

20 February 2002

18 February 2005

D. R. Mehta

21 February 1995

20 February 2002

S. S. Nadkarni

17 January 1994

31 January 1995

G. V. Ramakrishna

24 August 1990

17 January 1994

Dr. S. A. Dave

12 April 1988

23 August 1990