Govt appoints K.V. Ramana Murty as SEBI whole-time member

• The government has appointed Kompella Venkata Ramana Murty as a whole-time member of Securities and Exchange Board of India (SEBI) for a period of three years.

• With this addition, the regulatory board now has four full-time members. 

• The other three whole-time members are Amarjeet Singh, Kamlesh Chandra Varshney, and Sandip Pradhan.

• Murty, a retired 1991 batch Indian Defence Accounts Service (IDAS) officer, previously served as Additional Controller General of Defence Accounts at the Ministry of Defence.

• According to a government notification, Murty has been appointed for a period of three years from the date of assumption of charge of the post, or until further orders, whichever is earlier.

What is SEBI?

• The Securities and Exchange Board of India (SEBI) was constituted as a non-statutory body on April 12, 1988 through a resolution of the government of India for dealing with all matters relating to the development and regulation of the securities market and investor protection and to advise the government on all these matters.

• SEBI was given statutory status and powers through an Ordinance promulgated on January 30, 1992. SEBI was established as a statutory body on February 21, 1992. The Ordinance was replaced by an Act of Parliament in April 1992.

• The Board has the same powers as are vested in a civil court under the Code of Civil Procedure, 1908, while trying a suit.

The main objectives of SEBI are:

i) To protect the interest of the investors.

ii) To regulate and promote development of securities markets in India. 

The main functions of SEBI include:

i) Registration, regulation and supervision of intermediaries operating in the securities market.

ii) Promoting and regulating self-regulatory organisations.

iii) Prohibiting fraudulent and unfair trade practices relating to securities markets.

iv) Calling from or furnishing to other authorities, whether in India or abroad, such information as may be necessary for the efficient discharge of its functions. The Board, for  the purpose of furnishing any information to any authority outside India, may enter into an arrangement or agreement or understanding with such authority with the prior approval of the central government.

Members of the Board

The Board consists of:

i) Chairperson

ii) Two members from the officials of the Ministry of Finance.

iii) One member from the officials of the Reserve Bank of India.

iv) Five other members of whom at least three shall be whole-time members, to be appointed by the central government.

• The general superintendence, direction and management of the affairs of the Board shall vest in the Board of members, which may exercise all powers and do all acts and things which may be exercised or done by the Board.