SEBI withdraws press release claiming staff was ‘misguided by external elements’

The Securities and Exchange Board of India on Monday withdrew a press release it issued on September 4 blaming “external elements” for protests by its employees.

This came after demands by the employees that the statement be withdrawn, The Indian Express reported.

SEBI had issued the press release in response to a media report claiming that about 500 staffers had complained to the Centre in early August about “toxic” work culture.

The employees had also claimed that shouting and public humiliation were the norm in meetings at the market regulator. “The situation is such that, let alone grade A-C officers, even officers in higher grades are afraid to attend meetings fearing for the unquestionably bad behaviour of people at the highest level,” they had said.

In the statement which was withdrawn on Monday, SEBI had said: “It is our belief that SEBI’s junior officers, who were in large numbers, originally aggrieved in respect of HRA [house rent] allowances, have been misguided by external elements to target credibility of SEBI and its leadership”.

On September 5, the staff held a protest demanding that the press release be withdrawn.

They had also sought the resignation of the market regulator’s chief Madhabi Puri Buch for “spreading lies against SEBI’s employees”, Moneycontrol had reported.

In a press release on Monday, the market regulator said that after discussions with representatives of officers...

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