The Ministry of Finance will float an advertisement in the next few days inviting applications to appoint the next chairperson of the Securities and Exchange Board of India, the capital markets regulator, to succeed Madhabi Puri Buch, whose three-year term will end in February 2025.
“The search process will begin in November after the advertisement comes out,” a top government official told NDTV Profit. Whether or not her term is extended, the source said, the appointment process must be followed.
This should clear the air on Buch's continuation till the completion of her term. She has been facing allegations of a conflict of interest by her and her husband, Dhaval Buch.
Buch's predecessor, Ajay Tyagi, had his term extended for four years after the process of inviting applications was initiated in parallel. Similarly, UK Sinha, the chairman before Tyagi, received two extensions while the application process was invited during his tenure as well.
In February, 2022, the government announced the appointment of Buch, who was at the time whole-time member on the Sebi board. She is not just the first woman heading the capital market regulator but also first from private sector to be at helm. She was given three-year term, which end on February 28, 2025.
For the appointment of regulators, the candidates will be shortlisted by the Financial Sector Regulatory Appointments Search Committee (FSRASC), headed by cabinet secretary.
The government typically shortlist candidates which will be called for the interview by the panel comprising Economic Affairs Secretary and three external members having domain knowledge.
Based on the inputs, the committee shares the name of potential candidates to the Appointment Committee of Cabinet headed by the Prime Minister for approval.
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