No scam in recent stocks fall, says Govt

No scam in recent stocks fall, says Govt

Movements being monitored by Sebi

No scam in recent stocks fall, says Govt

 The benchmark Sensex has fallen by about 2,500 points between November, 2010 and February this year, Minister of State for Finance Namo Narain Meena said during Question Hour.

“Market movements are closely monitored by Sebi, and (stock) exchanges, irrespective of the levels of indices,” he said. “Nothing has come to the notice of Sebi to suspect any irregularity in the recent fall,” he added.

Hence, Sebi has not initiated any specific probe into movement of Sensex during the last few months since November.

Good performance

The minister said Indian markets have performed better when compared with peer economies. “Compared with major economies, our performance is stable and good,” he said.

“Sebi has reported that fluctuations in markets are not unusual. It is also not uncommon for markets to witness corrections after a sharp bull run,” he said.

Meena said Sebi had taken action against 1,170 entities in 2010 for fraudulent and manipulative practices and imposed a cumulative fine of Rs 124.23 crore.

Four entities and licenses of 48 others were suspended. Warning was issued to 37, prohibitative observations made against 691 and advisory issued to 130, he said. “It is job of Sebi to look after the interest of investors,” he added.