SEBI to get powers to curb ponzi schemes

New Delhi: A Bill to empower the market regulator Sebi to crack down on ponzi schemes and investment frauds was approved by the Cabinet on Thursday. Following the CCEA approval, the Securities Laws (Amendment) Bill will be introduced in Parliament. “The Cabinet Committee on Economic Affairs has cleared the Sebi Bill,” an official source said.

The Bill seeks to give Sebi sweeping powers like attachment of properties, launch of recovery proceedings, seeking call data records to investigate cases and ordering search and seizure against manipulators and fraudsters.

The UPA government had sought to empower the market regulator to deal with ponzi schemes through an ordinance.