Business Studies

SOME IMPORTANT TRUE AND FALSE WITH REASON:
There is no control on stock exchanges.


ANSWER

False


SOLUTION
This statement is 'False' because of the following reasons:
(i) The government of India has established the market watch dog; i.e., Securities Exchange Board of India(SEBI)
(ii) It was established in April, 1988.
(iii) It has become statutory body under SEBI Act, 1992.
(iv) Its head office is located in Mumbai.
(v) It regulates the business in stock exchange.
(vi) It prohibits fraudulent and unfair trade practices relating to security market.
(vii) It also prohibits insider trading in securities.
(viii) It controls the activities of stock exchange by undertaking inspections, conducting inquires and audits etc.
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TRUE/FALSE Medium Published on 18th 08, 2020
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