Departments - Surveillance

 

Departments

Surveillance

The Exchange has set up the Surveillance Department to keep a close watch on price movements of scrip and to detect market abuse like price rigging, monitor abnormal prices and volumes which are not consistent with normal trading pattern etc. The main objective of the department is to ensure a free and fair market, to avoid manipulations and to manage risks. The surveillance function at the exchange has assumed greater importance in the last few years. SEBI has directed the Exchange to set up a separate surveillance department with staff exclusively assigned for this function.

The Surveillance Department

        Keeps a close watch on the price movement of scrip.

        Detects  market manipulations like price rigging.

        Monitors abnormal changes in prices and volumes which are not consistent   with normal trading pattern.

        Monitors the member brokersí positions to ensure that defaults do not occur.

 

The department conducts in-depth investigation based on preliminary enquiries made into trading of the scrip as also at the instance of SEBI. . Conducting investigations involves the following stages: -.

Identification of scrip based on the alerts thrown by the online system and offline reports.

Identification of Members from whom the client details have to be called for .

Preparation of company profile including Corporate News and Financial results.

Compilation of client details.

 Preparation of reports.

 In case irregularities are found, necessary action is  initiated.

 

 

Cochin Stock Exchange, Kochi, India