Standardising regulatory prescriptions

Realisation of statutory objectives in the securities market requires absolute clarity of statutory provisions

Market regulator Securities and Exchange Board of India (Sebi) passes a variety of preventive and remedial orders, ad interim or final, in the public interest— namely, the interest of investors in the securities market. Most such orders prohibit association with the securities market in general, in addition to specific prohibitions. A recent order in Jalan Cement Works Ltd vs Sebi, for example, prohibits the persons concerned from accessing the securities market from buying, selling or otherwise dealing in securities, directly or indirectly, or being associated with the securities market in any manner, whatsoever, for a period of one year.

Prohibiting a