The Securities and Exchange Board of India (Sebi) today appointed Pradnya Saravade and Ananta Barua as its new executive directors.
The decision was taken at a board meeting. It was also decided to enhance disclosure requirements for directors of companies intending to get listed on the exchanges and to change the rules on annual fees for investors in funds.
As an executive director, Saravade would be handling investigations, while Barua has been given the charge of departments that would include portfolio management, parliamentary questions, right to information and investor assistance and education.
Saravade joined Sebi in 2008 as an officer on special duty and had been handling investigations and vigilance. Barua joined Sebi in 1992-93 and was associated with the legal affairs department.
According to a statement on the Sebi website, the board also decided to enhance the disclosure norms for directors of companies that intend to list on the bourses. The offer documents of companies raising capital should contain disclosures from directors who had served as directors of other companies at a time when their shares were suspended from trading by stock exchanges for more than three months during the past five years or were delisted.
On a different note, in a move to avoid investors being charged twice in fund of fund schemes (which invest in schemes of other mutual funds), the Sebi board decided that fund houses could either adopt a slab-based structure for annual expenses or ensure annual expenses do not exceed 2.5 per cent. Earlier, the investor fund used to charge one per cent in some cases and the investee fund charged 2 or 2.25 per cent, taking the total expenses to around three per cent.