Date:08/12/2004 URL: http://www.thehindubusinessline.com/2004/12/08/stories/2004120803290100.htm

Back LS approves Bill on corporatisation of stock exchanges

Our Bureau

New Delhi , Dec. 7

THE Lok Sabha today approved the Securities Laws (Amendment) Bill, 2004 to provide for the corporatisation and demutualisation of all recognised stock exchanges.

Replying to a brief discussion on the Bill, the Finance Minister, Mr P. Chidambaram, said that retail investors were the `driving force' of any stock market and the proposed legislation would encourage their increased participation.

Mr Chidambaram said that once the Bill becomes a law, all stock exchanges would be required to submit a scheme for corporatisation and demutualisation to the Securities and Exchange Board of India (SEBI).

The scheme would have to be submitted within a time frame specified by the SEBI.