-: PROJECT ON :-

HISTORY
It was officially established by

TheGovernment of Indiain the

year 1988
And given statutory powers in
1992 with SEBI Act 1992 being
passed by theIndian
Parliament.
SEBI has its Headquarters are
at the business district
ofBandra Kurla
ComplexinMumbai.

Initially SEBI was a non statutory body without any

statutory power. However in the year of 1995, the SEBI

was given additional statutory power by the
Government of India through an amendment to the
Securities and Exchange Board of India Act 1992.
In April, 1988 the SEBI was constituted as the regulator
of capital markets in India under a resolution of the
Government of India.
The SEBI is managed by its members, which consists of
following: a) The chairman who is nominated by Union
Government of India. b) Two members, i.e. Officers
from Union Finance Ministry. c) One member from The
Reserve Bank of India. d) The remaining 5 members are
nominated by Union Government of India, out of them
at least 3 shall be whole-time members.

REASONS FOR THE ESTABLISHMENT OF SEBI

The capital market had witnessed a
tremendousgrowth during the 1980s
This ever expanding investor population and
marketcapitalization led to a variety of
malpractices
These malpractices include rigging of prices,
unofficial premium on new issues, violation of
rules and regulations, delay in delivery of shares
etc.
So, the Government of India decided to set-up a
separate regulatory body known as SEBI.

ORGANIZATION STRUCTURE
The activities of SEBI have been divided into

4operational departments.
Each department is headed by an Executive
Director
Apart from its head office at Mumbai SEBI
hasregional offices in Kolkata, Chennai, Delhi
to attendto investor complaints.

DEPARTMENTS UNDER SEBI

Primary market

Primary Market Department: It deals with all

policy matters and regulatory issues relating to

primary market.
Issue Management and Intermediaries
Departments: This department is concerned with
inspection of offer documents and other things like
registration, regulation and monitoring of issue
related to intermediaries.
Secondary Market Department: It looks after all
the policy and regulatory issues for the secondary
market; administration of the major stock
exchanges and other matters related to it.
Institutional Investment Department: It
concerned with framing policy for foreign
institutional investors.

ROLE OF SEBI
To the issuers - it aims to provide a market place in

which they can confidently look forward to raising

finances they need in an easy, fair and efficient
manner.
To the investors - it should provide protection of their
rights and interests through adequate, accurate and
authentic information and disclosure of information on
a continuous basis.
To the intermediaries - it should offer a competitive,
professionalized and expanding market with adequate
and efficient infrastructure so that they are able to
render better service to the investors and issuers.

POWERS OF SEBI
For the discharge of its functions efficiently, SEBI has been
1.
2.
3.
4.
5.
6.
7.

vested with the following powers:

to approve bylaws of stock exchanges.sebi
to require the stock exchange to amend their bylaws.
inspect the books of accounts and call for periodical returns
from recognized stock exchanges.
inspect the books of accounts of a financial intermediaries.
compel certain companies to list their shares in one or more
stock exchanges.
registration brokers.
there are two types of brokers.
1.circuit broker
2.merchant broker

OBJECTIVES OF SEBI
To protect the interests

of investors in securities.
To promote the
development of
Securities Market.
To regulate the
securities market.
For matters connected
therewith or incidental
thereto.

FUNCTIONS OF SEBI
Registering and regulating the working of

venture capital funds and including mutual

funds.
Promoting and regulating self-regulatory
organizations.
Prohibiting fraudulent and unfair trade
practices relating to securities markets.
Promoting investors' education and training of
intermediaries of securities markets.
Prohibiting insider trading in securities.

Regulating substantial acquisition of

shares and take-over of companies.

Performing such functions and exercising
such powers under the provisions of the
Act as may be delegated to it by the
Central Government from time to time.
Levying fees or other charges for carrying
out the purposes of this section.
Conducting research for the above
purposes.

SEBI COMMITTEES
1. Technical Advisory Committee
2. Committee for review of structure of market
3.
4.
5.
6.
7.

infrastructure institutions
Takeover Regulations Advisory Committee
Primary Market Advisory Committee (PMAC)
Secondary Market Advisory Committee
(SMAC)
Mutual Fund Advisory Committee
Corporate Bonds & Securitization Advisory
Committee

MAJOR ACHIEVEMENTS
SEBI has enjoyed success as a regulator by pushing

systematic reforms aggressively and successively. SEBI

is credited for quick movement towards making the
markets electronic and paperless by introducing T+5
rolling cycle from July 2001 and T+3 in April 2002 and
further to T+2 in April 2003. The rolling cycle of
T+2means,Settlementis done in 2 days afterTrade
date. SEBI has been active in setting up the regulations
as required under law. SEBI did away with physical
certificates that were prone to postal delays, theft and
forgery, apart from making the settlement process slow
and cumbersome by passing Depositories Act, 1996.

CONCLUSION
For the development of any economy,
Capital Market, which is one of the main
organ to mobilize funds of huge order, shall
evolve all steps to develop the market,
simultaneously bringing in the credibility in
the financial market, which is watched
world wide, through effective and speedy
implementable
regulations, ultimately,
protecting the interest of the Investors and
the Country.

GROUP MEMBERS
SR.
NO.

NAME

ROLL NO.

01

Siddhesh Guldekar

10

02

Ishan Jadhav

13

03

Sushant Kamble

20

04

Rahul Shinde

42

05

Swapnil Sonawale

46