What impact could the integrity issues in SEBI have on the financial market
Rahul Gandhi criticized the compromised integrity of SEBI, raising concerns about financial market stability.
- Loss of Investor Confidence: Integrity issues in SEBI can lead to a loss of trust among investors, resulting in a decline in investor confidence in the financial markets.
- Market Instability: Lack of integrity within the regulatory body can create uncertainty and instability in the financial markets, affecting stock prices and overall market performance.
- Inefficient Regulation: compromised integrity may weaken regulatory oversight, allowing fraudulent activities to go unchecked, potentially leading to market manipulation and insider trading.
- Diminished Credibility: SEBI's compromised integrity can damage its reputation and credibility, impacting its ability to effectively regulate and enforce rules in the financial market.
- Legal and Reputational Risks: Integrity issues can expose SEBI to legal risks, fines, and damage its reputation, further eroding market stability.
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10 months ago