New Delhi: The government has shortlisted five top bureaucrats who are in the race to soon become the next chairman of the Securities and Exchange Board of India (Sebi) as a possible successor to Madhabi Puri Buch, the current chairperson of Sebi, whose term ends on February 28. The top candidates for the post include current economic affairs secretary Ajay Seth and Sebi’s whole-time member Ashwani Bhatia among others who are said to be front runners for the key regulatory position in the capital market. The announcement for the post is likely in a day or two and the new Sebi chairman may resume office on March 1, a top source privy to the development said on Wednesday.”The possibility of Buch’s extension as the Sebi chief again is said to have outrightly ruled out by the government due to a slew of allegations made by both the recent Hindenburg reports and Opposition parties, especially Congress. The financial sector regulatory appointments search committee or FSRASC, led by the cabinet secretary, has already recommended the names and submitted its report to the appointments panel of the Union Cabinet, which may take the final call in this matter” the source added.However, the officials straightaway rejected this kind of speculation made by media reports, saying that it is “quite premature” as far as the new appointment is concerned. But Buch is reportedly not being considered favourably for an extension in the tenure due to controversies surrounding her. Buch was the first chairman in the 36-year history of the regulatory body who had primarily worked in the private sector, while the government is mulling over some senior bureaucrat for appointment.Last month, the finance ministry launched the hunt for a new Sebi chief, putting a vacancy notice, saying that those with 25 years experience in law, finance, economics, accountancy and administration and above 50 years are eligible to apply. “The chairman should be a person who does not, and will not have any such financial or other interests as are likely to affect prejudicially his functions as chairman,” it addedAfter serving as a full-time member at Sebi for five years from April 2017, Buch assumed the role of Sebi chairperson on March 2, 2022, for a period of three years, which ends on February 28, 2025. The tenure of a Sebi chief is usually three years. However, some exceptions were made in the case of UK Sinha and Ajay Tyagi who served as Chairmen for six and five years, respectively. Sinha served as Sebi chairman from February 18, 2011, to March 1, 2017, while his successor, Tyagi’s tenure was from March 1, 2017, to February 28, 2022.
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