SEBI to strengthen investigative efforts over issues of corporate governance

Last Updated: Thu, Feb 14, 2019 12:01 hrs

Mumbai: In the backdrop of rising cases of corporate malpractice, which is followed by heavy volatility in specific stocks like Sun Pharma, DHFL, Zee and IL&FS, market regulator Security and Exchange Board of India (SEBI) has planned to ramp up its efforts to investigate such cases.

Sources said SEBI has planned to deploy and hire more people to look into matters of stock market fraud and cases relating to manipulation and corporate governance.

Earlier in January, news website Cobrapost had alleged that DHFL was involved in a fraud. This triggered a heavy sell-off in DHFL stock.

The pharma major, Sun Pharmaceuticals saw a similar fate when a whistleblower alleged the promoters were involved in corporate malpractice.

Analysts have attributed such cases being one reason for retail investors to shy away from participating in the markets.

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