SEBI notifies conflict-of-interest norm for employees; extends investment rules to family members

📌 Summary:

• Markets regulator SEBI has notified a comprehensive conflict-of-interest framework for its own employees
• New rules impose tighter investment restrictions, enhanced disclosure norms and a two-year cooling-off period for employees after they leave the regulator
• Investment restrictions are extended to employees' family members
• Aim: strengthen governance, transparency and ethical standards within the markets regulator

🎯 UPSC Relevance: GS2 — probity and ethics in regulatory institutions; transparency, accountability and conflict-of-interest management in public bodies

📝 Prelims Facts:

• SEBI is a statutory body under the SEBI Act, 1992; it regulates India's securities markets
• A cooling-off period restricts an official from taking up certain roles for a fixed period after leaving office

🔑 Key Term: Cooling-off period — a mandated gap before a former official may join a related private entity, to prevent conflict of interest