Sebi to come out with circular to prevent Karvy-like incidents: Ajay Tyagi

Sebi chief Ajay Tyagi on Monday said it will shortly come out with a round to reduce incidents like Karvy Broking Solutions Ltd (KSBL), which experienced allegedly misused clients’s securities, and asserted that whatever action necessary will be taken.

“We will just hold out and see,” he said, referring to the dues to be compensated by KSBL.

As of February 14, Tyagi said the full dues of KSBL stood at Rs one,189 crore.

“Securities held by financial institutions are Rs 511 crore, and the financial institutions have no funds. The full shortfall in securities is Rs 183 crore, and funds is Rs 495 crore. So, the shortfall is Rs 678 crore,” he pointed out.

In November, the watchdog barred KSBL from having new brokerage shoppers after it was discovered that the brokerage business experienced allegedly misused clients’ securities to the tune of much more than Rs two,000 crore.

According to

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