The Securities and Exchange Board of India Act, 1992 (Bare Act)/ Universal Law Publishing

THE SECURITIES AND EXCHANGE BOARD
OF INDIA ACT, 1992
Introduction . . . 1
CHAPTER I
PRELIMINARY
Sections
1. Short title, extent and commencement . . . 3
2. Definitions . . . 3
CHAPTER II '
ESTABLISHMENT OF THE SECURITIES AND EXCHANGE
BOARD OF INDIA
3. Establisliment and incorporatipn of Board 4
4. Management of the Board • 4
- 5. Term of office and conditions of service of Chairman and
members of the Board 5
6. Removal of member from office 5
7. Meetings 6
7A. Member not to participate in meetings in certain'cases 6
8. Vacancies etc., not to invalidate proceedings of Board 6
9. Officers and employees of the Board , 6
CHAPTER III
TRANSFER OF ASSETS, LIABILITIES, ETC., OF THE EXISTING
SECURITIES AND EXCHANGE BOARD TO THE BOARD
10. Transfer of assets, liabilities, etc., of existing Securities and Exchange Board to the Board . . . 6
CHAPTER IV
POWERS AND FUNCTIONS OF THE BOARD
11. Functions of Board . . . 7
IIA. Board to regulate or prohibit issue of prospectus, offer document or advertisement soliciting money for issue of securities . ' . . 10
llAA. Collective investment scheme 11
IIB. Power to issue directions 12
lie. Investigation 12 llD. Cease and desist proceedings * 15
CHAPTER V
REGISTRATION CERTIFICATE 12. Registration of stock-brokers, sub-brokers, share transfer agents, etc. 15
\
CHAPTER VA
PROmBITION OF MANIPULATIVE AND DECEPTIVE DEVICES, INSIDER TRADING AND SUBSTANTIAL ACQUISITION
OF SECURITIES OR CONTROL
12A. Prohibition of manipulative and deceptive devices, insider trading and substantial acquisition of securities or control 17
CHAPTER VI
RNANCE, ACCOUNTS AND AUDIT
13. Grants by the Central Government 17
14. Fund 17
15. Accounts and audit 18
CHAPTER VIA
PENALTIES AND ADJUDICATION 15A. Penalty for failure to furnish information, return, etc. 18
15B. Penalty for failure by any person to enter into agreement
with clients 19 15C. Penalty for failure to redress investors' grievances 19 15D. Penalty for certain defaults in case of mutual funds 20 15E. Penalty for failure to observe rules and regulations by an asset management company 21 15F. Penalty for default in case of stock broker 21 15G. Penalty for insider trading 22 15H. Penalty for non-disclosure of acquisition of shares and take-overs . 22 15HA. Penalty for fraudulent and unfair trade practices 23 15HB. Penalty for contravention where no separate penalty has been provided 23 15-1. Power to adjudicate 23 15J. Factors to be taken into account by the adjudicating officer 23 15JA. Crediting sums realised by way of penalties to Consolidated
Fund of India
24
CHAPTER VIB
ESTABLISHMENT, JURISDICTION, AUTHORITY AND PROCEDURE OF APPELLATE TRIBUNAL 15K. Establishment of Securities Appellate Tribunals 24 15L. Composition of Securities Appellate Tribunal 24 15M. Qualification for appointment as Presiding Officer or Member of Securities Appellate Tribunal 24 15N. Tenure of office of Presiding Officer and otlier Members of Securities Appellate Tribunal 25 15-0. Salary and allowances and other terms and conditions of service of Presiding Officer 25 15P. Filling up of vacancies • 25 15Q. Resignation and removal 25 I5R. Orders constituting Appellate Tribuiral to be final and not to invalidate its proceedings 26
15S. Staff of tfie Securities Appellate Tribunal 26
15T. Appeal to the Securities Appellate Tribunal 26
15U. Procedure and Powers of the Securities Appellate Tribunal 27
15V. Right to legal representation 28
15W. Limitation 28
15X. Presiding Officer, Members and staff of Securities Appellate Tribunals to be public servants 29
15Y. Civil court not to have jurisdiction 29
15Z. Appeal to Supreme Court 29
CHAPTER VII
MISCELLANEOUS
16. Power to Central Government to issue directions - 29
17. Power of Central Government to supersede the Board 30
18. Returns and reports 30
19. Delegation 31
20. Appeal 31
20A. Bar of jurisdiction — 31
21. Savings 32
22. Members, officers and employees of the Board to be public servants 32 23. Protection of action taken in good faith 31
24. Offences ' ' 31
24A. Composition of certain offences ' 32
24B. Power to grant immunity 32
25. Exemption from tax on wealth and income 33
26. Cognizance of offences by courts 33
27. Offences by Companies 33
28. 1 Repealed] \ 34
29. Power to make rules 34 30. Power to make regulations * 35 31. Rules and regulations to be laid before Parliament / 35 32. Application of other laws not barred 35
33. Amendment of certain enactments 35
34. Power to remove difficulties 35
35. Repeal and saving 36
THE SCHEDULE—Amendment of Certain Enactments