SEBI now armed with powers to curb ponzi schemes


New Delhi, Aug 6 (IANS): The Lok Sabha Wednesday passed the Securities Laws (Amendment) Bill, 2014, with a view to curb the menace of ponzi schemes and save investors from losing their monies.

Replying to the debate on the bill in the Lok Sabha, Finance Minister Arun Jaitley said Prime Minister Narendra Modi will unveil a scheme that would lure away people from financial fraudsters.

The government brought the bill in the wake of thousands of people in West Bengal losing their monies in the Saradha chit fund scam.

The new law empowers market watchdog Securities and Exchange Board of India (SEBI) to search the premises of suspect companies and get information within and outside India.

Stressing that where there is money, there will be financial sharks, Jaitley said Modi will announce a financial inclusion scheme whereby two bank accounts are targeted to be opened in 7.5 crore families.

He said that when the banking channels are opened up for the unbanked population, then the need for ponzi schemes would go down.

  

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Title: SEBI now armed with powers to curb ponzi schemes



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