Government of India Volume I: Analysis and Recommendations

More documents

Recommendations

Info

STRUCTURE OF THE REGULATOR the most comprehensive manner possible. Emulating the performance measure based auditing system used globally by financial regulators, this process will: ◮ relate the exercise of functions by the regulator with its expenses; ◮ require the regulator to create performance metrics and targets which it will be required to achieve; ◮ help in tracking the regulator’s performance across financial years. 2. Financial Accounting: This will be the traditional accounting of expenses for the purposes of maintaining financial control and audit, which is currently being done by financial regulators. The financial accounts will be audited by the CAG. 28 FINANCIAL SECTOR LEGISLATIVE REFORMS COMMISSION
CHAPTER 4 Functions and powers of the regulator The regulator acts like a mini-state in that it exercises legislative powers in the form of drafting regulations that are binding on regulated entities; it acts as the executive in its supervision and enforcement actions; and it performs a quasi-judicial function while assessing compliance with the law by regulated entities and compliance of processes by the regulator while imposing penalties on them. While giving these wide ranging powers to the regulators, the draft Code on regulatory governance needs to put in place appropriate checks and balances to ensure that the powers are not misused and proper regulatory governance processes are followed in every action taken by the regulator. The Commission has identified the following areas for which regulatory governance processes need to be clearly detailed in the draft Code: 1. Process for issuing regulations and guidelines; 2. Executive functions - granting permission to carry on financial activities, information gathering, investigation, imposition of penalties and compounding of offences; and 3. Administrative law functions. 4.1. Issuing regulations and guidelines The primary function of a financial sector regulator is to set down standards of behaviour expected from regulated entities. This encompasses making regulations governing how the regulated entities should interact with the regulator, consumers, financial markets and other regulated entities. Regulations also guide the internal functions and actions of regulated entities in the conduct of financial activities. In a system governed by the rule of law, no action should be judged against unknown standards. Therefore, before the regulator can carry out any supervision or adjudication functions it has the responsibility to lay down in clear and unambiguous terms, the behaviour that it expects from regulated entities. While doing so, the regulator needs to follow a structured process that allows all stake-holders to be fully informed of and participate in the regulation-making process. Some existing regulators have already adopted the good practice of carrying out public consultations in the course of making regulations. However, the Commission FINANCIAL SECTOR LEGISLATIVE REFORMS COMMISSION 29
Page 1:
Government of India _______________
Page 5 and 6:
Contents Acronyms . . . . . . . . .
Page 7:
CONTENTS 12 Public debt management
Page 10 and 11: ACRONYMS FSAT Financial Sector Appe
Page 13 and 14: Acknowledgement When the Ministry o
Page 15: ACKNOWLEDGEMENT appreciate the effo
Page 18 and 19: EXECUTIVE SUMMARY rience till date.
Page 20 and 21: EXECUTIVE SUMMARY out many processe
Page 22 and 23: EXECUTIVE SUMMARY can issue regulat
Page 24 and 25: EXECUTIVE SUMMARY Alongside this, i
Page 26 and 27: EXECUTIVE SUMMARY to analyse one co
Page 28 and 29: Contracts, trading and market abuse
Page 30 and 31: 5. A new Financial Redressal Agency
Page 32 and 33: EXECUTIVE SUMMARY States GDP as of
Page 34 and 35: 1.2. Deliberations in the Commissio
Page 36 and 37: INTRODUCTION amendments frequently
Page 38 and 39: INTRODUCTION sectoral composition o
Page 40 and 41: INTRODUCTION The Commission has und
Page 43 and 44: CHAPTER 2 The tasks of financial la
Page 45 and 46: THE TASKS OF FINANCIAL LAW This is
Page 47 and 48: THE TASKS OF FINANCIAL LAW ◮ “i
Page 49 and 50: THE TASKS OF FINANCIAL LAW 2.5. Own
Page 51 and 52: THE TASKS OF FINANCIAL LAW desirabl
Page 53 and 54: CHAPTER 3 Structure of the regulato
Page 55 and 56: STRUCTURE OF THE REGULATOR Table of
Page 57 and 58: STRUCTURE OF THE REGULATOR Table of
Page 59: STRUCTURE OF THE REGULATOR Table of
Page 63 and 64: FUNCTIONS AND POWERS OF THE REGULAT
Page 73: FUNCTIONS AND POWERS OF THE REGULAT
Page 76 and 77: CONSUMER PROTECTION The consumer pr
Page 78 and 79: Table of Recommendations 5.4 Princi
Page 80 and 81: CONSUMER PROTECTION using or disclo
Page 82 and 83: CONSUMER PROTECTION providers. The
Page 84 and 85: CONSUMER PROTECTION Table of Recomm
Page 87 and 88: CHAPTER 6 Micro-prudential regulati
Page 89 and 90: MICRO-PRUDENTIAL REGULATION let tha
Page 91 and 92: MICRO-PRUDENTIAL REGULATION Table o
Page 97 and 98: MICRO-PRUDENTIAL REGULATION PRINCIP
Page 99: MICRO-PRUDENTIAL REGULATION the oth
Page 102 and 103: RESOLUTION payment systems. The cor
Page 104 and 105: RESOLUTION Commensurately, the corp
Page 106 and 107: Table of Recommendations 7.3 Intera
Page 108 and 109: Table of Recommendations 7.5 Powers
Page 110 and 111:
Table of Recommendations 7.7 Fundin
Page 113 and 114:
CHAPTER 8 Capital controls Capital
Page 115 and 116:
CAPITAL CONTROLS 2. Absence of judi
Page 117 and 118:
CAPITAL CONTROLS Table of Recommend
Page 119:
CAPITAL CONTROLS Table of Recommend
Page 122 and 123:
Table of Recommendations 9.1 Object
Page 124 and 125:
Table of Recommendations 9.3 Establ
Page 126 and 127:
SYSTEMIC RISK filings by financial
Page 128 and 129:
SYSTEMIC RISK Table of Recommendati
Page 130 and 131:
egulatory agencies. In such a situa
Page 132 and 133:
FINANCIAL INCLUSION AND MARKET DEVE
Page 134 and 135:
FINANCIAL INCLUSION AND MARKET DEVE
Page 136 and 137:
Table of Recommendations 11.1 Objec
Page 138 and 139:
Table of Recommendations 11.2 The m
Page 140 and 141:
Table of Recommendations 11.3 Board
Page 143 and 144:
CHAPTER 12 Public debt management 1
Page 145 and 146:
PUBLIC DEBT MANAGEMENT of the publi
Page 147 and 148:
PUBLIC DEBT MANAGEMENT State Govern
Page 149 and 150:
PUBLIC DEBT MANAGEMENT Table of Rec
Page 151 and 152:
CHAPTER 13 Foundations of contracts
Page 153 and 154:
FOUNDATIONS OF CONTRACTS AND PROPER
Page 155 and 156:
Page 157 and 158:
Page 159 and 160:
Page 161:
Page 164 and 165:
14.2. Problems of the present arran
Page 166 and 167:
FINANCIAL REGULATORY ARCHITECTURE T
Page 168 and 169:
FINANCIAL REGULATORY ARCHITECTURE w
Page 170 and 171:
TRANSITION ISSUES On the functional
Page 172 and 173:
TRANSITION ISSUES service providers
Page 174 and 175:
SUMMARY OF RECOMMENDATIONS NOT EMBE
Page 177:
CHAPTER 17 Conclusion Financial eco
Page 180 and 181:
18.2. Note of dissent by K.J. Udesh
Page 182 and 183:
18.3. Note of dissent by P.J. Nayak
Page 184 and 185:
NOTES OF DISSENT A second difficult
Page 186 and 187:
NOTES OF DISSENT 6. The present arr
Page 189 and 190:
CHAPTER 19 Annexes 19.1. Formation
Page 191 and 192:
ANNEXES 19.2. List of consultants,
Page 193 and 194:
ANNEXES * Did not participate in th
Page 195 and 196:
ANNEXES 19.5. Interactions with aut
Page 197 and 198:
ANNEXES (c) Examine whether informa
Page 199 and 200:
ANNEXES 2. General development of m
Page 201 and 202:
ANNEXES 19. Role of surveyors: (a)
Page 203 and 204:
ANNEXES 6. The law must provide for
Page 205 and 206:
ANNEXES 31. Resolution of insurance
Page 207 and 208:
ANNEXES 3. As shocks can spread thr
Page 209 and 210:
ANNEXES 19.8.2. Terms of Reference
Page 211 and 212:
ANNEXES (d) The Board of the target
Page 213 and 214:
ANNEXES 2. The PDMA should adopt a
Page 215 and 216:
ANNEXES 3. On the issue of co-opera
Page 217 and 218:
ANNEXES 14. Regulators must look at
Page 219 and 220:
ANNEXES 31. The WG recommends the m
Page 221 and 222:
ANNEXES (b) Efficiency of DRT: Suit
Page 223 and 224:
ANNEXES (c) Pledged shares and exem
Page 225 and 226:
ANNEXES 19.11. Interactions by the
Page 227 and 228:
ANNEXES 19.13. Submissions to FSLRC
show all

Government of India Volume I: Analysis and Recommendations

You also want an ePaper? Increase the reach of your titles

Delete template?

Save as template?