Sebi Extends Deadline for Public Comments on MII Key Official Appointments

Sebi has extended the deadline to December 31 for submitting public comments on a proposal concerning the appointment process for key officials in stock exchanges and other market infrastructure institutions. The proposal involves having an independent agency recommend candidates to the governing board for final decision-making.

The Securities and Exchange Board of India (Sebi) announced an extension for the public to submit comments on its proposal regarding the appointment process of key officials at stock exchanges and similar institutions. Initially set for December 12, the new deadline is now December 31, 2024, allowing more time for feedback.

The proposal, issued in November, outlines the appointment process for Key Managerial Personnel (KMPs) like Compliance Officers and Chief Risk Officers. It suggests utilizing an independent agency for candidate selection, with recommendations reviewed by a Nomination and Remuneration Committee and forwarded to both the governing board and Sebi.

Additionally, the proposal addresses cooling-off periods for officials transitioning between competing institutions. The goal is to ensure these roles are carried out without commercial influence, maintaining high standards due to MIIs' significant profit margins and shareholder returns.

(With inputs from agencies.)