Consider the following statements regarding the Chairperson of the Securities and Exchange Board of India (SEBI): 1. The SEBI Chairman holds office for a maximum period of 5 years from the date of assumption of charge. 2. The President of India appoints the chairperson of SEBI. 3. SEBI Board of Directors is responsible for recommending candidates for the SEBI chairperson position. How many of the statements given above are correct? |ForumIAS

Q. Consider the following statements regarding the Chairperson of the Securities and Exchange Board of India (SEBI):
1.The SEBI Chairman holds office for a maximum period of 5 years from the date of assumption of charge.
2.The President of India appoints the chairperson of SEBI.
3.SEBI Board of Directors is responsible for recommending candidates for the SEBI chairperson position.
How many of the statements given above are correct?

[A] Only one

[B] Only two

[C] All three

[D] None

Answer: A

Notes:

Explanations –

Statement 1 is correct. According to the SEBI Act and government rules, the SEBI Chairperson can hold office for a term not exceeding 5 years or until they reach the age of 65, whichever is earlier.

Statements 2 and 3 are incorrect. The SEBI Chairperson is appointed by the Union Government, specifically based on recommendations from the Financial Sector Regulatory Appointments Search Committee (FSRASC). The recommendation for the SEBI Chairperson is made by the FSRASC, which includes members such as the Cabinet Secretary and other senior officials.

Source: DD News

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