stock advice -
C.R. Sukumar for compiling the informative text.
The Securities and Exchange Board of India (SEBI) has significantly enhanced its surveillance systems to protect investors from market manipulation, including issues related to inflated penny stocks. These strengthened measures aim for early detection of suspicious stock movements and broker activities, preventing fraudulent practices that could harm thousands of investors. By proactively monitoring market integrity, SEBI works to ensure a fair and transparent trading environment.
How Does SEBI Monitor Market Activity?
SEBI's surveillance system has evolved from simply collecting information to actively compiling and analyzing data for rapid intervention. This allows for swift action, including issuing interim orders to prevent fraud. The surveillance staff undergoes rigorous training, enabling them to track the entire chain of stock movement and cash flows involved in market manipulation.
Through active coordination with depositories, SEBI has developed sophisticated software tools