India markets regulator faces privacy hurdles over asset disclosure proposal, chief says

MUMBAI: The head of India’s markets regulator said on Friday the agency is grappling with  privacy concerns as it weighs a panel’s proposal requiring senior officers, including the chairperson, to disclose their financial assets and liabilities.

The panel, which submitted its recommendations last month, argued that such disclosures by chief general managers, executive directors, whole-time members, and the chairperson would strengthen transparency and accountability.

The Securities and Exchange Board of India (SEBI) formed the panel earlier this year after former chairperson Madhabi Puri Buch faced conflict-of-interest allegations from the now-defunct Hindenburg Research, which claimed she had previously invested in offshore funds linked to the Adani group. Both Buch and the Adani Group denied the allegations.

“They have no concern in giving such details internally to an independent office but they have concerns on disclosing publicly,” SEBI Chairman Tuhin Kanta Pandey said at a Mumbai-based event.

India markets regulator panel recommends top officials make public disclosures of assets

A conflict-management framework for SEBI’s policy-making and investigative functions is workable and should be implemented, Pandey said.

SEBI officials are questioning the need for such disclosures, noting they are not mandated for any other authority in India, Pandey added.

The SEBI board will consider the panel’s recommendation for approval at its next meeting on December 17, Pandey said, adding that implementation will depend on how the board views the proposal.

He also noted that SEBI has begun discussing the creation of a single, uniform regulatory framework and eligibility criteria for all fund managers, regardless of whether they oversee mutual funds, portfolio management services, or alternative investment funds.