Mint Explainer | Why Sebi wants to revamp its settlement framework
New Delhi, Aug. 19 -- India's markets regulator, the Securities and Exchange Board of India, has proposed a revamp of its settlement framework to make the process simpler, more predictable and easier for entities to use. It has suggested changes to how settlement amounts are calculated and interest on disgorgement is charged. Mint explains the proposal
The base amount will be linked to the minimum penalty under the relevant securities laws, with a multiplier depending on the applicant. The formula will then factor in the stage of proceedings, past regulatory action, type of violation, aggravating and mitigating factors.
The proposal excludes wrongful gains or investor losses from the base-amount calculation, although such amounts must b...
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