Presented By

EQUITY
 INTRODUCTION
• Established on April 12,
1992 by Central Govt under
Section 3 of SEBI Act,
1992.
• Headquarter at Bandra–
Kurla complex in Mumbai.
• Regional offices in New
Delhi, Kolkata, Chennai
and Ahmedabad.
• Current Chairman -
Chandrasekhar Bhaskar
Bhave.
SEBI HEADQUARTER, IN MUMBAI
RESPONSIBILITY TOWARDS:
 The issuers of securities
 The investors
 The market intermediaries.
POWERS & DUTIES:
 Protecting the interests
of investors in securities
 Promoting the
development of the
securities market
 Regulating the securities
market.
 COMPOSITION
 A Chairman
 Two members from
amongst the officials of the
Ministry of the Central
Government dealing with
Finance and administration
of Companies Act, 1956
 One member from amongst
the officials of the Reserve
Bank of India
 Five other members of
whom at least three shall be
whole time members to be
appointed by the Central
Government CHAIRMAN OF SEBI - MR.
C.B.BHAVE
 FUNCTIONS
 Regulating the Business in stock exchanges and other
security market.
 Registering and Regulating the working of stock brokers,
sub-brokers and other intermediaries.
 Registering and regulating the working of the depositories,
participants, custodians of securities, FIIs, credit rating
agencies
 Prohibiting fraudulent and unfair trade practices
 Promoting investors' education and training of intermediaries
 Prohibiting insider trading in securities
 Calling for information from, Stock Exchange,
intermediaries, self- regulatory organizations, Banks, or any
other authority
 INSIDER TRADING
• It is prohibited and is considered an offence under SEBI Regulations.
• Insider - Any person who, is or was connected with the company or is
deemed to have been connected with the company, and who is reasonably
expected to have access to unpublished price sensitive information in
respect of securities of a company, or who has received or has had access to
such unpublished price sensitive information.
• Any insider, who deals in securities in contravention of the provisions of
regulation 3 or 3A shall be guilty of insider trading.
• If SEBI suspects any person of having violated the provisions of insider
regulation it may make inquiries with such person or with the stock
exchanges to probe the violation.
• SEBI may issue order as per Regulation 11 in accordance with
SEBI(Prohibition of Insider Trading) Regulations, 1992 , or initiate
criminal prosecution under Section 24.
• SEBI has laid down various disclosures and internal procedure under
Chapter IV of the Regulations deals.
 PROHIBITION OF FRAUDULENT AND
UNFAIR TRADE PRACTICES
RELATING TO SECURITIES MARKET
The term fraud include:
 An active concealment of a fact
by one having knowledge or
belief of the fact;
 A promise made without any
intention of performing it;
 A representation made in a
reckless and careless manner
whether it be true or false;
 A false statement made without
reasonable ground for believing
to be true;
 Any such act or omission as any
other law specifically declares to
be fraudulent;
The regulations specifically
prohibit:
 market manipulation
 misleading statements to
induce sale or purchase of
securities
 unfair trade practices relating
to securities.
Based on the report of the
investigating officer, SEBI can
initiate action for suspension
or cancellation of registration
of an intermediary.
Thank You