Report of joint committee on stock market scam and matters relating thereto

Volume 1

[11:46 am, 12/05/2022] a @~~: the Chorman of the Art Come on Stock Market Scom and Mothers Seleting the having been autoted by the Committee to set the beport on their behot, prevent the Teport of the Committee

2 The Cantee contbuted on 27 A2001 were retructed to make a beport to Port by the end of Moraoon Session 2001 As the Commes could not complets ther work by the schedded date they sought four extensions. The last extension being upto the tat day of the Wrder Son 2002 3. M/h Vlay Goel Han Pathok, Anant Gangarom Geete Anondoo Vithoba Adi ord

Veam Vermo resigned on their induction in the Union Council of Ministers Dr. Botam reigned

from the Committee Shet Ramdas Agarwal ceased to be a member of the Committee on he

retirement trom Raya Sabha The Committee place on record their oppreciation of the volucitie

contribution made by them to the deliberations of the Committee

4. A Sub-Committee of the Joint Committee consisting of the Chairman JPC and eight other members viz. 5/5hn Mani Shankar Alyar, Kirit Somalya 5.5. Aniuwalla, Nilotpal Bosu C. Ramachandraiah, Kapl Sibol Amor Singh and C.P. Thirunavukkaramu were appointed on 11.10.2002 to draft the Report of the Joint Committee.

5. The Committee/Sub-Committee held 105 sittings in at Of these, 7 sittings were held for

fechnical briefing 2 sittings were held for taking stock of the implementation of the previous

Action Taken Report, 59 sittings were devoted for recording of evidence of various agencies/

Ministnes/departments and individuals. 17 sittings for in-house deliberations and 20 sittings by the

drafting Sub-Committee. The total duration of the sittings of the Committee was 357 hour and

45 minutes. The Committee took evidence of two Ministers, two Ex-Ministers, regulatory agencies

SEBL RBI and DCA, Investigative agencies-CBL CBDT and Directorate of Enforcement. Mristies

Departments of Government of India Bania including Cooperative Banks Financial Institutions

108 and ICICL Presidents and Executive Directors of selected Stock Exchanges SHCIL and other

individuals. The last of individuals and organizations whose representatives gave evidence before

the Committee is given in Annexure. A verbatim record of the oral evidence before the

Committee running into more than 4100 pages was kept

6. The Committee undertook an on the spot visit to Kolkata and Mumbai from 10th July 2001 to 12th July, 2001 to familiarize themselves with the actual working of the Stock Exchanges. During the visit, the Committee also held informal discussions with the representatives of Reserve Bank of India, Securities and Exchange Board of India Investors Forum and Brokers

7. The Committee considered the final draft of the Report at their sittings held from 3rd to

5th and on 10th December 2002 and adopted the same unanimously.

8. The Minutes of the sittings of the Committee form Part II of the Report. 9. For facility of reference and convenience, the observations, conclusions and

recommendations of the Committee are also given separately at the end of the Report.