The document discusses proposed amendments to securities laws in India through the Securities Laws (Amendment) Bill of 2014. It notes that small investors had their savings cheated through illegal chit fund schemes that existing regulations did not adequately protect against. The bill aims to empower the Securities and Exchange Board of India (SEBI) to regulate any pooling of funds over 100 crore rupees not overseen by another regulator, recover monetary penalties, arrest individuals not complying with its orders, request information from authorities including banks, establish special courts for offenses, and conduct search and seizure operations with court permission. The bill also seeks to define "pooling of funds" and clarify the scope of collective investment schemes.

1. The Securities
Laws
(Amendment) Bill,
2014

2. NEED FOR AMENDMENT
CHIT FUNDS:
A chit fund is a kind of savings scheme
practiced in India.
A chit fund company is a company
that manages, conducts, or supervises
a chit scheme.

3. NEED FOR AMENDMENT
CHIT FUND = CHEAT FUND
 Small Investors had deposited their savings in to such
schemes and later found themselves cheated.
 The existing regulations were not enough to safe guard
the investors from such schemes.

4. NEED FOR AMENDMENT

5. NEED FOR AMENDMENT

6. NEED FOR AMENDMENT

7. NEED FOR AMENDMENT
“INVESTOR PROTECTION”
from illegal deposit taking schemes
EMPOWER THE REGULATOR – S.E.B.I

8. HIGHLIGHTS OF THE BILL
The Bill proposed amendments
& insertion of new sections in
the following acts :-
SEBI Act, 1992
Securities Contract
(Regulation) Act, 1956
Depositories Act, 1996

9. HIGHLIGHTS OF THE BILL
POWER TO SEBI
 Regulate any pooling of
funds of ₹100 Crore &
above, if not overseen by
any regulator
 Recover monetary penalties
imposed by it through
attachment and sale of
assets

10. HIGHLIGHTS OF THE BILL
POWER TO SEBI
 Arrest and detain an
individual for any failure to
comply with its orders
 Call for information and
records from any person,
including banks or other
authority

11. HIGHLIGHTS OF THE BILL
POWER TO SEBI
 Establish special courts for
speedy trials of offences
under the SEBI Act
 Search & Seizure operations
on any suspected violator,
its premise*
*(after obtaining permission from a
magistrate or judge of a court in Mumbai)

12. HIGHLIGHTS OF THE BILL
DUTY OF
 Clearly define the term
‘pooling of funds’
 Clarify the applicability &
scope of CIS (Collective
Investment Scheme)

13. Bill passed on
8th August, 2014 at Lok Sabha

14. Copy of the Bill

15. ANANND KANKNI
COMPANY SECRETARY
+91-9707056733
anandkankani@live.com