Senior bureaucrat and Economic Affairs Secretary Shaktikanta Das is all set to become the next Securities and Exchange Board of India (Sebi) chief after the extended tenure of UK Sinha, who has been at the helm of the watchdog since February 2011, ends on March 1 this year
Three senior bureaucrats, including Das, were believed to be in contention for the post of Sebi boss after completion of the second innings of Sinha. Coincidentally, the term of Das also ends in February this year.
The Government has promised to accommodate Das post retirement, a top Finance Ministry source told The Pioneer. “Three senior bureaucrats were among the contenders for the key post. Apart from Das, Power Secretary PK Pujari and Additional Secretary in the Finance Ministry Ajay Tyagi were also included in the list,” the source said.
“A final decision will be taken by the Government after considering the recommendations of the Financial Sector Regulatory Appointments Search Committee, which has conducted the interviews and short-listed the candidates,” the source added.
The process for choosing the next Sebi chief started in September 2016 and the Government received many applications. But Das, who is a key figure in the Government’s economic policy-making decisions, including handling the issues related to demonetisation of high-value currencies, is already on the Sebi Board as a Government nominee.
Das, being a Tamil Nadu cadre IAS officer, is also on the Reserve Bank of India Board, while, Pujari, a Gujarat-cadre officer has worked in various roles, including in the Ministries of Agriculture and Finance.
Generally, the Sebi Chairman is appointed for five years or up to the age of 65 years, whichever is earlier. He is also eligible for re-appointment. Sinha, who took charge as Sebi Chairman on February 18, 2011, was initially appointed for a three-year term. later, he was given a two-year extension.
Just days before his last term was to end on February 17, 2016, the Government approved his re-appointment to the position from February 18 till March 1, 2017. The Sebi Chairman reportedly gets a consolidated pay package of Rs 4.5 lakh per month.
“Keeping in view the role and importance of Sebi as a regulator, it is desirable that persons with high integrity, eminence and reputation, preferably with more than 25 years of professional experience and in the age group of 50-60 years may apply,” the Finance Ministry had said in September while inviting applications for the Sebi chief’s post.
In July last year, the Government had initiated the search-and-selection process to find Sinha’s successor and it got as many as 50 applications. Despite short-listing seven candidates, the Government decided to give one-year extension to Sinha.