Mumbai: The Securities and Exchange Board of India (Sebi) on Friday said that enforcement is not the only solution to deal with every violation in capital markets, but voluntary compliance of law by the participants is important.
“Enforcement is important, but enforcement cannot be the only solution… At the end of the day, law is implemented through voluntary compliance. It is done mostly to tell the participants that the regulator is watching you,” Sebi whole-time member Kamlesh Varshney said at an event organized by industry body Assocham.
“Coercion cannot be against every violation, these violations must be corrected by voluntary compliance”.
He added that “if we see that on a TV channel, guest experts give advice to manipulate the market, of course we will enter the picture, but before that, it is the responsibility of the TV channel to see if the guest experts are. they invite give advice in a transparent way or there is some manipulation going on.”