What is SEBI, its Functions, Powers and Composition

SEBI Kya Hai In Hindi: Share Market It is necessary for every investor to know about SEBI because it protects the interests of investors and protects them from frauds in the stock market. SEBI keeps its watch over the entire capital market of India and also imposes necessary rules from time to time for the capital market. SEBI also takes legal action against the violators of SEBI rules.

In today’s article, you will get useful information about SEBI. In this article we What is SEBI, When was SEBI established, Why SEBI was formed, Major functions of SEBI and Powers of SEBI So that you can get suitable information about SEBI.

So let’s start without taking much time of you guys, know more about this article SEBI what Is These Hindi,

What is SEBI

SEBI (Securities and Exchange Board of India) means that Securities and Exchange Board of India It is a statutory body that monitors the functioning of the stock market in India. sebi share transaction, mutual fund Regulates and acts as a regulator in the Indian stock market. The main function of SEBI is to protect the interests of investors and develop and manage the stock market by implementing new rules from time to time.

What is SEBI, its Functions, Powers and Organizational Structure - SEBI

any company in the stock market share Before withdrawing, registration has to be done with SEBI, SEBI makes the company strictly follow the rules of the stock market so that fraud cannot happen with the investor.

SEBI set up 30 January 1992
Headquarter Location Mumbai, Maharashtra, India
possession Under the Ministry of Finance, Government of India
President Ajay Tyagi (IAS)
Website sebi.gov.in
SEBI related information

Full name of SEBI (SEBI Full form in Hindi)

The full form of SEBI is Securities and Exchange Board of India, which is called Securities and Exchange Board of India in Hindi.

History of SEBI

SEBI was established on 12 April 1988 as a non-constitutional body. On 30 January 1992, the Government of India gave constitutional status to SEBI through an ordinance in the Parliament. The headquarters of SEBI is located in Mumbai and SEBI also has regional offices in four other metropolitan cities of Delhi, Chennai, Kolkata and Ahmedabad.

Purpose of setting up SEBI – Why SEBI was needed

Role of Securities and Exchange Board of India is that any big business Or an organization is needed to monitor the market, which listens to the public and imposes appropriate fines on the person or company who cheated them. When fraud started increasing in the stock market, there was a need for an institution that could control the stock market and protect the interests of investors.

Then SEBI was started on 12 April 1988 and SEBI was also given constitutional status on 30 January 1992, since then SEBI keeps an eye on the activities in the stock market. Any company that withdraws its shares also has to follow the rules of SEBI. With the advent of SEBI, the cases of fraud in the stock market came down and investors were able to buy shares without any fear.

Member in SEBI

SEBI consists of a team of 9 members, out of which one member is the Chairman, who is nominated by the Government of India. The tenure of the chairman of SEBI is 3 years or till the age of 65 years, thus the tenure of the chairman of SEBI is not fixed.

Out of the remaining 5 members, two members are knowledgeable in the Ministry of Finance and 2 members are knowledgeable about the law. Out of 9 members of SEBI, one member is from RBI. his choice Reserve Bank of India from the officers of. The current Chairman of SEBI is Shri Ajay Tyagi, who is the Chairman of SEBI from 1st March 2017 till date.

Work of SEBI

The main functions of SEBI are as follows –

  1. SEBI has been established primarily to protect the interests of investors in the capital market.
  2. SEBI makes rules to run the stock market.
  3. SEBI promotes the development of the stock market and regulates the business.
  4. stock market insider tradingBanning fraud and unfair trade practices.
  5. SEBI stock brokersProvides a platform to register and regulate the work of Sub-brokers, Portfolio Managers, Investment Advisors, Share Transfer Agents, Bankers, Merchant Bankers, Registrars, Underwriters and other allied persons.
  6. SEBI makes investors aware so that they avoid falling prey to frauds.
  7. SEBI supervises substantial acquisition of shares and takeover of companies.
  8. SEBI registers and regulates the investment schemes of mutual funds.
  9. SEBI also does the work of training the intermediaries associated with the stock market such as brokers.
  10. SEBI regulates the stock exchange.

Power of SEBI

SEBI mainly has three powers –

1 – Quasi-Judicial

SEBI reserves the right to pass judgments relating to fraud and other unethical practices with reference to the securities market. It helps in ensuring fairness, transparency and accountability in the capital markets.

2 – Quasi-Executive

SEBI has the power to enforce decisions and rules and also has the power to take legal action against those who do not follow the rules. SEBI has the right to examine the account book and other documents in case of violation of rules.

3 – Quasi-Legislative

SEBI has the power to make rules and regulations to protect the interests of investors. Some of its regulations include insider trading, listing obligations, disclosure requirements etc.

What is the organizational structure of SEBI

The board of SEBI consists of nine members, its Organizational Structure Low is in kind.

  • A Chairman of the SEBI Board is appointed by the Central Government.
  • One member of the board – appointed by the central bank ie RBI.
  • Two members of the board are appointed by the Union Ministry of Finance.
  • The five members of the board are elected by the Central Government of India.

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FAQs related to SEBI

What is the full name of SEBI?

The full name of SEBI is Securities and Exchange Board of India, which is called Securities and Exchange Board of India in Hindi.

Why was SEBI formed?

SEBI was formed to prevent fraud in the stock market and protect the interests of investors.

When was SEBI established?

SEBI was established on 12 April 1988 under a non-constitutional body but on 30 January 1992, SEBI was given constitutional status.

Where is the headquarters of SEBI?

The headquarter of SEBI is located in Mumbai.

Who is the present Chairman of SEBI?

The current Chairman of SEBI is Shri Ajay Tyagi, who became the Chairman of SEBI on 1st March 2017.

Who was the first chairman of SEBI?

First Chairman of SEBI Dr. It was SA Dave who became the chairman of SEBI on 12 April 1988 and his tenure lasted till 23 August 1990.

What is the tenure of the Chairman of SEBI?

The tenure of the Chairman of SEBI is 3 years or till the age of 65 years. Earlier the tenure of the Chairman of SEBI was 5 years but later the Government of India reduced it to 3 years.

Conclusion: What is SEBI in Hindi

An organization like SEBI was needed to prevent fraud in the stock market in India. Since the advent of SEBI, the control of India’s capital market went into the hands of SEBI, so that it was possible to protect the interests of investors.

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