Market manipulators to face strict action

Friday, 10 December 2004, 20:30 IST
Printer Print Email Email
NEW DELHI: Finance Minister P. Chidambaram assured the Lok Sabha that strict action will be taken against those responsible for the securities scam of 2000-01 that wiped out hard earned monies of millions of investors. "I would like to assure that effective action against those guilty for the scam will be taken and we will present progress reports at regular intervals until the house is fully satisfied," Chidambaram said. "The aim of the government is to ensure that all those who perpetrated the scam or were accomplices to the misdeeds do not go unpunished," he said, presenting a progress report on the action taken on a Joint Parliamentary Committee report. Chidambaram also sought the support of members in the passage of legislative changes proposed by the committee to reform the governance of stock exchanges and bring greater transparency and efficiency in their working. Among them, he said, is an ordinance to amend the Securities Contract Regulation Act to safeguard against conflict of interests and improve governance of stock exchanges through demutualisation, or making them corporate entities. "Further, this would provide liquidity in the investments made largely by small investors in remote corners of the country in small and medium companies by providing for a national trading platform," the minister said. Another bill, Chidambaram said, was to amend the Banking Regulation Act to provide for strong regulation over urban cooperative banks and issues relating to integration of commodity markets and capital markets
Source: IANS
siliconindia