Conflict of interest disclosures may be on Sebi agenda

Sebi) is likely to discuss a framework for the disclosure of members' conflicts of interest at its first meeting under new chairman Tuhin Kanta Pandey on March 24, said people with knowledge of the matter.
The board will also consider a proposal on the appointment process for key management personnel at market infrastructure institutions such as stock exchanges and easing rules for foreign portfolio investors (FPIs).

The conflict-of-interest code for board members had come under the spotlight following accusations against former Sebi chairperson Madhabi Puri Buch by Hindenburg Research and the Congress party.
Sebi and Buch, who headed the regulatory body for three years until February 28, had denied the accusations.

Board members and their spouses have to disclose their assets to Sebi.

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Norms Introduced in 2008
But the lack of scrutiny beyond the filing process has left the system exposed to allegations and controversies, former Sebi board members said.
Sebi introduced conflict of interest regulations for its board members in 2008, with only one revision implemented since then. Notably, all previous chairpersons, except Buch who had a private sector background, have had bureaucratic careers.

«I think trust and transparency extend to Sebi itself,» Pandey, who is also a bureaucrat that succeeded Buch, had said in his first public speech since taking over. «We need to be more transparent, for example, on the conflict of interest of the board… And we will be coming forward with our own plan to