Sebi plans SOP for applying settlement norms

Markets watchdog Sebi is in discussions to finalise the standard operating procedure for applying settlement regulations for cases amid rising number of settlement matters.

Besides, the Securities and Exchange Board of India (Sebi) is looking at having uniformity in applying the settlement formula for settling cases.

Sebi Whole Time Member Kamlesh Chandra Varshney on Sunday said the regulator is working on the SOP for applying the settlement regulations.

"It is work in progress... It is in final discussions," he told PTI.

Under Sebi norms, subject to various conditions, a matter can be settled without admitting or denying the facts and conclusions of law.

On the sidelines of a conference in the national capital, Varshney also said Sebi is looking at how to have consistency in applying the settlement formula.

"Formula also has certain value to be given. Now different people should give same value for same situation in different cases... Basically uniformity across cases... We will work on that," he said.

During a session at the conference, he said the interesting thing about Sebi is that when "you come for settlement you pay more than what you end up paying for litigation".

Five years back, he said out of the enforcement orders, 10 per cent used to come for settlement.

Today, 45 per cent of them are coming for settlement, he said during the session a the national conference on the economics of competition law.