Exuding confidence that steps taken in the aftermath of multi-demat IPO scams will address the issues of misconduct in the public issues, stock market regulator — Securities & Exchange Board of India (Sebi), on Thursday, said it does not expect any major irregularities in the forthcoming IPOs.
“Those (issues thrown out by multi-demat IPO scams) have been addressed. We have put in place several steps,” Sebi Chairman M Damodaran told reporters on the sidelines of a seminar on Financial Planning here.
“Our expectation is that we will not see anything on that scale. Should somebody choose to misconduct, we know how to deal with it,” he said.
While over Rs 9,000 crore issue of real estate company DLF is expected to be listed by the first week of July, over Rs 9,000 crore ICICI Bank’s follow-on offer is open for subscription currently. Spice Telecom is also coming out with around Rs 500 crore IPO.

Fictitious demat
Starting from detection of irregularities in the Yes Bank issue in December 2005, Sebi had found that in many issues quota fixed for retailers were cornered by a group of players through opening of multiple fictitious demat accounts.
Sebi had looked into 105 IPOs during 2003-05, beginning with Maruti and those of industry majors like TCS, NTPC, Jet Airways, Yes Bank and IDFC.
Later, the market regulator through an interim order had banned 12 depository participants from opening fresh demat accounts for a specified period, even as investigations continued in these cases.
Also, Sebi asked NSDL and CDSL, besides eight depository participants to cough up Rs 115.81 crore for their involvement in these scams.