Sebi Cracks Down on Research Analysts: 72 Registrations Cancelled

The Securities and Exchange Board of India (Sebi) has cancelled the registration of 72 research analyst entities for failing to pay renewal fees, highlighting the need to prevent misuse of expired certificates. Sebi also fined additional entities for non-genuine trades in the BSE's illiquid stock options segment.

The Securities and Exchange Board of India (Sebi) has taken decisive action by cancelling the registration of 72 entities as research analysts due to non-payment of required renewal fees. This measure, Sebi stated, is aimed at safeguarding investors from the misuse of expired certificates of registration.

Sebi had initiated summary proceedings against these entities after they failed to adhere to the renewal fee requirements stipulated under market norms. In February, show cause notices were issued to these entities regarding the violations.

Additionally, Sebi slapped fines on various entities for engaging in non-genuine trades on the BSE, thereby creating artificial trade volumes. This crackdown follows Sebi's investigation into trading activities within the illiquid stock options segment on BSE between April 2014 and September 2015.

(With inputs from agencies.)