AGARTALA, March 16 (TIWN): Securities and Exchange Board of India has recently directed all the states and the union territories to constitute State Level Coordination Committee (SLCC) to keep an eye on the issues relating to the financial system, issues of fund raising by various entities and to ensure coordination between various regulators and state governments. Besides, the committee is also made responsibility to investigate into the complaints including ‘collective investment schemes’, while the SEBI will take up the matter if any company is found to have collected more than Rs. 100 crore during the investigation.A meeting was held recently at Mumbai SEBI Bhawan where SEBI Chairman U.K. Sinha has directed all the states including Tripura to constitute SLCC to deal with the financial system of the state. He said that the committee shall be headed by the Chief Secretary of the state, with Home Secretary, various departments of the state governments, police authority, DMs, representatives from Reserve Bank of India, customs and central excise department, National Housing Bank and SEBI as its member.

Besides, attending the meeting headed by the SEBI Chairman, Advocate Amrit Lal Saha as a representative of Consumers’ Protection Association, Tripura informing that the state Tripura has a Depositors Interest Act said that there are some unauthorized trading run by a section of brokers and sub-brokers without the consent of investors.

He also said that E-mail IDs are created by the brokers in the name of investors and they do maintain the ID and passwords. Besides, false mobile numbers are also mentioned in the account opening papers. Resulting the investors does not get information about illegal trade business run by the brokers. However Mr. Saha urged the SEBI to ban the power attorney system to stop such illegal trades in the state Tripura. He also suggested to verify the e-mail IDs and the mobile numbers of the investors by the independent third party.

Later reacting to it Chairman U. K. Sinha has informed that any investors can lodge complaint by using internet or by writing letters to the SEBI.

However, the Depositors Interest Act in was legally approved during the year 2000. The DMs were given the responsibility to deal with the act by receiving complaint against the depositors. And later the DMs were also directed to collect all the information on the complaint and sent it to the competent court. And here in Tripura during the year 2004 or 2005 the law department has selected the District level court to deal with the such cases. It is to be mentioned here that Finance Minister Bhanulal Saha recently during the assembly session said that till today the depositors interest act has filed one complaint.  

Governor D.Y. Patil recently gave his assent to the amendment bill of the Tripura Protection of Interest of Depositors (in financial establishments) Act, 2000. The bill was moved in the Tripura Legislative Assembly for enhancing the level of protection of the depositors in monetary firms, including NBFCs and UIBs (Un-Incorporated Bodies). The act has the provision to impose a fine of Rs.10,000 for every flawed provision and act by the NBFCs and UIBs and in addition Rs.1,000 per day for continuation from the date of default.