Date:13/12/2003 URL: http://www.thehindu.com/2003/12/13/stories/2003121305990900.htm

National

Jaswant assures more stock reforms

By Our Special Correspondent

NEW DELHI DEC. 12. The Union Finance Minister, Jaswant Singh, today informed the Lok Sabha that some of the recommendations of the Joint Parliamentary Committee on the stock market scam would be implemented after the investigations or judicial proceedings in courts were completed.

Making a statement in the House on the action taken report (ATR) on the JPC's main report, Mr. Singh said the first ATR was presented well within the six-month period after the JPC submitted its report on December 19, 2002. "As desired by the JPC, the Government will continue to submit periodic reports of action taken, at six-monthly intervals until the full satisfaction of Parliament,'' he said. Recounting some of the measures implemented, he said that certain legislative measures such as amending the SEBI Act and repealing the UTI Act had come into effect.

Other proposals to amend the Securities Contract (Regulation) Act for ensuring demutualisation and corporatisation of the stock exchanges and the amendment of the Banking Regulation Act for better regulation of the cooperative banks were before Parliament.

The Government was also considering bringing about other legislation such as the Companies Law (Amendment) Bill and the Government Securities Bill, 2003, Mr. Singh said.

Between the last ATR and the current one, measures had been taken, including setting up of additional institutional mechanisms, to keep a regular watch on the financial markets, establishment of a coordination mechanism with regulators and investigating agencies, references to the SEBI regarding the secondary market investment decisions of the UTI in 89 companies identified by the Tarapore Committee and the setting up of the Serious Frauds Investigation Office.