SEBI's Trust Overhaul: New Panel to Review Conflict of Interest Rules

SEBI announces creation of an independent panel to review and strengthen conflict of interest rules, enhancing transparency and trust under new chair Tuhin Kanta Pandey. The move counters past allegations against Madhabi Puri Buch and aligns with increasing foreign investment thresholds.

In a significant move to bolster public trust, SEBI on Monday announced the formation of an independent panel of external experts aimed at reviewing and enhancing rules surrounding conflicts of interest. The decision comes months after former head Madhabi Puri Buch faced allegations of bias in handling investigations.

Tuhin Kanta Pandey, who recently succeeded Buch, spearheaded this initiative during his first board meeting as chair. He emphasized restoring trust by assuring transparency and ethical conduct among SEBI leadership. Pandey asserted that recent measures should not be misconstrued as admissions of past improprieties.

The panel's creation aligns with SEBI's strategy to update disclosure frameworks, including increasing the investment threshold for foreign investors. These steps come alongside new norms for appointing senior officials in stock exchanges, ensuring qualified and independent governance.

(With inputs from agencies.)