Q.(a) Explain the powers of SEBI. (any 5)

(a) SEBI can regulate stock exchanges, register and regulate intermediaries, ban fraudulent/unfair practices and insider trading, impose penalties, and investigate with search-and-seizure powers. (b) Digital India aims to digitally empower society through infrastructure, e-governance and digital literacy; Startup India builds a startup ecosystem via simplification, funding, tax breaks and handholding.

This is a 5-mark Part-IV question with an internal OR choice; both alternatives are answered.

(a) Powers of SEBI (any five, from the SEBI chapter of the Tamil Nadu HSC Class-12 Commerce syllabus):

• Power to regulate stock exchanges: SEBI can call for information from, inspect, inquire into and audit stock exchanges and other market bodies.
• Registration and regulation of intermediaries: it registers and regulates stock brokers, sub-brokers, merchant bankers, underwriters and other intermediaries.
• Prohibiting unfair practices: it can prohibit fraudulent and unfair trade practices and insider trading in the securities market.
• Power to impose penalties: it can impose monetary penalties and fines on those who violate the rules and regulations.
• Power of investigation: it has powers to conduct investigations, and to search and seize books, registers and documents where fraud is suspected.
• Power to issue directions: it can issue binding directions to protect investors and regulate takeovers and substantial acquisition of shares.

(b) Short notes:

• (i) Digital India: Digital India is a flagship programme of the Government of India, launched in 2015, with the vision of transforming India into a digitally empowered society and a knowledge economy. Its three vision areas are digital infrastructure as a utility to every citizen, governance and services on demand, and digital empowerment of citizens. It covers e-governance, BharatNet broadband, digital literacy and promotion of electronic payments. …