Overview

• Under the draft consultation paper, MIIs would add two executive directors as key managerial personnel heading critical operations and regulatory, compliance, risk management and investor grievances.
• The executive directors would hold authority on par with the managing director and report quarterly to the MII board and SEBI on issues in their verticals.
• Managing directors could sit on limited external boards only of Section 8 companies or unlisted government entities, while executive directors would be barred from outside directorships except MII subsidiaries.
• The proposals also call for bolstering roles for technology, information security, risk and compliance chiefs to reinforce internal controls across exchanges, clearing corporations and depositories.
• SEBI invites comments through July 15 as part of a broader push to enhance market integrity by placing public interest and systemic stability above commercial considerations.