Latest Expert Exchange Queries
sitemapHome | Registration | Job Portal for CA's | Expert Exchange | Currency Converter | Post Matrimonial Ads | Post Property Ads
News shortcuts: From the Courts | News Headlines | VAT (Value Added Tax) | Service Tax | Sales Tax | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Indirect Tax | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing
Popular Search: due date for vat payment :: list of goods taxed at 4% :: cpt :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: VAT RATES :: Central Excise rule to resale the machines to a new company :: TDS :: TAX RATES - GOODS TAXABLE @ 4% :: VAT Audit :: ARTICLES ON INPUT TAX CREDIT IN VAT :: ACCOUNTING STANDARD :: form 3cd :: empanelment :: ACCOUNTING STANDARDS :: articles on VAT and GST in India
« General »
 Banks warn share tax hike threatens Paris' post-Brexit appeal
 PMC may decide on property tax rebate for IT firms this week
 I-T Dept is giving out certificates of appreciation. Have you received yours?
 Government works on ironing out benefits refund mechanism for exportersa
  Tax officials are using an IDS provision to question transactions beyond six-year-limit
 Tax-free bonds rally like midcap funds
 Senior citizens do not have to pay advance tax on salary and interest income
 GST: Audit commissioners to get adjudication powers
 Interest on NRE rupee account can be exempt from tax under FEMA
 Impact of GST on Real Estate Sector
 GST regime: Tax payers allowed to take option of third-party interfaces

BSE brokers to meet Sebi, Unhappy over Jalan plan
December, 08th 2010

The BSE Brokers Forum, an association of broker shareholders of the Bombay Stock Exchange, will approach the Securities and Exchange Board of India, or Sebi, to voice their concerns over the proposals of the Bimal Jalan Committee set up to look into the governance, ownership and listing issues of stock exchanges.

The brokers are unhappy over the proposal to disallow the listing of stock exchanges. They feel the proposal defeats the very purpose of the corporatisation and demutualisation scheme under which the brokers were allotted shares against membership cards they were holding in the erstwhile BSE.

In 2007, Asias oldest bourse completed the demutualisation process to ensure that at least 51% of its equity was held by the public. Since then, many of its broker shareholders and also public shareholders, including large institutional investors, corporates and foreign investors like Deutsche Bourse and Singapore Exchange, have been holding shares in the hope that they would eventually get a chance to exit with better returns.

We have set up a task force consisting of some of our committee members who will meet Sebi to convey our concerns over the Jalan report , a members of the forum said, requesting anonymity.

While the market regulator has invited public comments on the report by December 31, many shareholders have already taken a critical view of its recommendations as it denies them an exit option .

Sebi chairman CB Bhave, however, has publicly defended the report. The brokers are also irked by some of the other suggestions, particularly the one which does not favour profit maximisation by stock exchanges and another against giving representation to brokers on the board. If these recommendations are implemented, they would be detrimental to the interest of the BSE as a corporatised entity and also that of its shareholders, said a member of the exchange. We favoured the corporatisation and demutualisation scheme because we thought it will be implemented with its original features, the member said.

A few brokers, however, are of the view that stock exchanges should not be allowed to function as a commercial organisation and to share its profits as dividend.

Commercialisation of stock exchanges itself is debatable in the Indian context. There are some critical problems of listing, which stock exchanges will find difficult to deal with in their existing structure, said VK Singhania, director of Mumbai-based broking firm VNS Finance.

Home | About Us | Terms and Conditions | Contact Us
Copyright 2016 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Quality Assurance Services Testing and Re-testing

Transfer Pricing | International Taxation | Business Consulting | Corporate Compliance and Consulting | Assurance and Risk Advisory | Indirect Taxes | Direct Taxes | Transaction Advisory | Regular Compliance and Reporting | Tax Assessments | International Taxation Advisory | Capital Structuring | Withholding tax advisory | Expatriate Tax Reporting | Litigation | Badges | Club Badges | Seals | Military Insignias | Emblems | Family Crest | Software Development India | Software Development Company | SEO Company | Web Application Development | MLM Software | MLM Solutions