Skip to main content

The Securities and Exchange Board of India Act, 1992

Central

An Act to provide for the establishment of a Board to protect the interests of investors in securities and to promote the development of, and to regulate, the securities market and for matters connected therewith or incidental thereto.

Act number
15 of 1992
Ministry
Ministry of Finance
Department
Department of Economic Affairs
Enacted
4 Apr 1992

Source: IndiaCode Portal, Legislative Department, Ministry of Law and Justice, Government of India. Open on India Code Check against the official text before relying on it.

92 sections

  1. Section 1Short title, extent and commencement.
  2. Section 2Definitions.
  3. Section 3Establishment and incorporation of Board.
  4. Section 4Management of the Board.
  5. Section 5Term of office and conditions of service of Chairman and members of the Board.
  6. Section 6Removal of member from office.
  7. Section 7Meetings.
  8. Section 7AMember not to participate in meetings in certain cases.
  9. Section 8Vacancies, etc., not to invalidate proceedings of Board.
  10. Section 9Officers and employees of the Board.
  11. Section 10Transfer of assets, liabilities, etc., of existing Securities and Exchange Board to the Board.
  12. Section 11Functions of Board.
  13. Section 11ABoard to regulate or prohibit issue of prospectus, offer document or advertisement soliciting money for issue of securities.
  14. Section 11AACollective investment scheme.
  15. Section 11BPower to issue directions and levy penalty.
  16. Section 11CInvestigation.
  17. Section 11DCease and desist proceedings.
  18. Section 12Registration of stock-brokers, sub-brokers, share transfer agents, etc.
  19. Section 12AProhibition of manipulative and deceptive devices, insider trading and substantial acquisition of securities or control.
  20. Section 13Grants by the Central Government.
  21. Section 14Fund.
  22. Section 15Accounts and audit.
  23. Section 15APenalty for failure to furnish information, return, etc.
  24. Section 15BPenalty for failure by any person to enter into agreement with clients.
  25. Section 15CPenalty for failure to redress investors‟ grievances.
  26. Section 15DPenalty for certain defaults in case of mutual funds.
  27. Section 15EPenalty for failure to observe rules and regulations by an asset management company.
  28. Section 15EAPenalty for default in case of alternative investment funds, infrastructure investment trusts and real estate investment trusts.
  29. Section 15EBPenalty for default in case of investment adviser and research analyst.
  30. Section 15FPenalty for default in case of stock brokers.
  31. Section 15GPenalty for insider trading.
  32. Section 15HPenalty for non-disclosure of acquisition of shares and takeovers.
  33. Section 15HAPenalty for fraudulent and unfair trade practices.
  34. Section 15HAAPenalty for alteration, destruction, etc., of records and failure to protect the electronic database of Board.
  35. Section 15HBPenalty for contravention where no separate penalty has been provided.
  36. Section 15-IPower to adjudicate.
  37. Section 15JFactors to be taken into account while adjudging quantum of penalty.
  38. Section 15JACrediting sums realised by way of penalties to Consolidated Fund of India.
  39. Section 15JBSettlement of administrative and civil proceedings.
  40. Section 15KEstablishment of Securities Appellate Tribunals.
  41. Section 15LComposition of Securities Appellate Tribunal.
  42. Section 15MQualification for appointment as Presiding Officer or Member of Securities Appellate Tribunal.
  43. Section 15MAAmendment of Presiding Officer and Judicial Member.
  44. Section 15MBSearch-cum-Selection Committee for appointment of Technical Members.
  45. Section 15MCVacancy not to invalidate selection proceeding.
  46. Section 15NTenure of office of Presiding Officer and other Members of Securities Appellate Tribunal.
  47. Section 15OSalary and allowances and other terms and conditions of service of Presiding Officers.
  48. Section 15PFilling up of vacancies.
  49. Section 15PAMember to act as Presiding Officer in certain circumstances
  50. Section 15QResignation and removal.
  51. Section 15QAQualifications, terms and conditions of service of Presiding Officer and Member.
  52. Section 15ROrders constituting Appellate Tribunal to be final and not to invalidate its proceedings.
  53. Section 15SStaff of the Securities Appellate Tribunal.
  54. Section 15TAppeal to the Securities Appellate Tribunal.
  55. Section 15UProcedure and powers of the Securities Appellate Tribunal.
  56. Section 15VRight to legal representation.
  57. Section 15WLimitation.
  58. Section 15XPresiding Officer, Members and staff of Securities Appellate Tribunals to be public servants.
  59. Section 15YCivil Court not to have jurisdiction.
  60. Section 15ZAppeal to Supreme Court.
  61. Section 16Power of Central Government to issue directions
  62. Section 17Power of Central Government to supersede the Board.
  63. Section 18Returns and reports.
  64. Section 19Delegation.
  65. Section 20Appeals.
  66. Section 20ABar of jurisdiction.
  67. Section 21Savings.
  68. Section 22Members, officers and employees of the Board to be public servants.
  69. Section 23Protection of action taken in good faith.
  70. Section 24Offences.
  71. Section 24AComposition of certain offences.
  72. Section 24BPower to grant immunity.
  73. Section 25Exemption from tax on wealth and income.
  74. Section 26Cognizance of offences by courts.
  75. Section 26AEstablishment of Special Courts.
  76. Section 26BOffences triable by Special Courts.
  77. Section 26CAppeal and revision.
  78. Section 26DApplication of Code to proceedings before Special Court.
  79. Section 26ETransitional provisions.
  80. Section 27Contravention by companies.
  81. Section 28Omitted..
  82. Section 28ARecovery of amounts.
  83. Section 28BContinuance of proceedings.
  84. Section 28CPowers of Board not to apply to International Financial Services Centre.
  85. Section 29Power to make rules.
  86. Section 30Power to make regulations.
  87. Section 31Rules and regulations to be laid before Parliament.
  88. Section 32Application of other laws not barred.
  89. Section 33Repealed..
  90. Section 34Power to remove difficulties.
  91. Section 34AValidation of certain acts.
  92. Section 35Repeal and saving.