SEBI Retracts Statement Blaming External Elements for Staff Protests

The Securities and Exchange Board of India (SEBI) has retracted its earlier statement, which claimed that external elements were responsible for the unrest among its staff. This statement, issued less than two weeks ago, suggested that external forces were behind internal employee dissatisfaction, a move seen by many as an attempt to discredit the organisation and its leadership.

On September 4, SEBI’s press release implied that staff concerns were being influenced by external parties seeking to harm the organisation’s credibility and leadership. However, SEBI has now retracted that press release, stating that the issues raised by employees will be handled internally.

The controversy began on August 6 when a group of SEBI employees wrote a letter highlighting concerns about the leadership, though they did not directly name Chairperson Madhabi Puri Buch. The letter pointed to an “unrealistic” work environment and called for changes in the leadership.

Following the letter, SEBI issued its September 4 statement, claiming that outside forces were encouraging employees to leak information to the media and government to destabilise the organisation. SEBI also stated that the letter was not officially sent by the SEBI Employees’ Association but was instead an anonymous email intended to cause disruption.

With the latest retraction, SEBI has distanced itself from these earlier claims. On Monday, SEBI issued a fresh statement acknowledging that its employees condemned the unauthorised release of internal communications and expressed their willingness to resolve concerns through established internal channels.

The regulator reaffirmed that employee-related matters would be addressed within the organisation in accordance with its governance standards. “Following productive discussions with employees of all levels, SEBI and its staff have confirmed that these issues will be handled within the organisation’s established processes and resolved in a timely manner,” SEBI said in its updated statement.

Aakhir Tak Editor-in-Chief

See Full Bio