The Centre has no objections to a proposal to form a panel of domain experts to look into strengthening the regulatory mechanisms for the stock market, the Supreme Court was told on Monday while hearing petitions related to the Adani stock rout following the Hindenburg report.
The central government told a bench headed by Chief Justice DY Chandrachud that it wanted to give the names of the domain experts for the committee and the scope of its mandate in a sealed cover in the larger interest.
Solicitor General Tushar Mehta, appearing for the Centre and SEBI, said that the market regulator and other statutory bodies are equipped to deal with the present situation arising out of the Hindenburg report.
However, the central government said it wanted to disclose the names of the domain experts for the committee and the scope of its mandate in a sealed cover in larger interest.
The supreme court has listed two PILs, alleging exploitation of innocent investors and “artificial crashing” of the Adani Group’s stock value, for hearing on Friday.
On February 10, the SC said the interests of Indian investors need to be protected against market volatility in the backdrop of the Adani stocks rout and asked the Centre to consider setting up a panel of domain experts headed by a former judge to look into strengthening the regulatory mechanisms.
It had also sought the views of the Securities and Exchange Board of India (SEBI) and the Centre as to how to ensure a robust mechanism is in place since the capital movement now is ”seamless” in the country.
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