Bill on single framework for securities regulations tabled

The Bill seeks to merge three existing legislations the Securities Contracts (Regulation) Act, 1956; the Securities and Exchange Board of India(Sebi) Act, 1992; and the Depositories Act, 1996into a single, unified code. The legislation will be referred to a Parliamentary standing committee for further scrutiny. First proposed in the Union Budget 2021-22, the SMC aims to remove obsolete and redundant provisions, eliminate overlaps, and introduce consistent regulatory processes across the securities market. Arka Mookerjee, partner at JSA Advocates & Solicitors, said the SMC’s consolidation of three key securities laws is likely to benefit both market participants and practitioners. However, the contours of subordinate legislation Sebi’s rules, regulations, circulars and guidelines will be crucial, he noted. Read more