New Delhi, June 01: The government will soon constitute a coordination committee, comprising representatives from Department of Company Affairs and Sebi, to reduce functional overlap between the two regulators. As of now, DCA regulates all registered companies under the Companies Act while listed ones are also under Sebi regulation as per clause 49 of the listing agreement, leading to frequent functional overlap between DCA and Sebi.

Last year, the two regulators had been at loggerheads over Sebi's demand for search and seizure powers, with DCA opposing the move and finally government had to give Sebi limited powers in this regard.
"The Naresh Chandra Committee has recommended that Sebi and DCA should function in harmony. We will soon set up a coordination committee comprising two-three representatives each from DCA and Sebi," DCA secretary V K Dhall said here.
While Dhall declined to comment further on the issue, it was indicated that guidelines for the long-awaited India Depository Receipts are expected to be announced within a few weeks. Finalisation of IDR norms was also pending resolution of the functional overlap between Sebi and DCA. Bureau Report