Looks like the Mr Bhalla lives in a fantasy world!!! I do not believe in controls as such but strongly believe SEBI has done the right thing. Imagine if there were no controls...billions owuld flow into the markets taking it to dizzing heights(nice to imagine) when it flows out without any controls!! the markets would touch the lower circuit everyday!! Anybody who believes in absolute free movement of capital does not relalise the damage that can be done by withdrawal of funds from markets. Lets face it Indian stock markets are not deep enough to withstand billions of dollars going out. it took Rs 18000 cr in october to take the market to 19000 but just a Rs 1775(10% of that) to make it drop a 1700 points. if the Rs 18000 goes out the market will be maybe at 10000.
SEBI has done right to stop PNs they have not said that these funds which invest in PNS cannot register with them and invest direct have they? now that would be unnecessary control. I think first ime in my 12 years of being part of the indian capital markets have I believed that SEBI is now being practove and not just a passiev bystander who comes in only after the problem surfaces aka the bombay police!!please Mr bhalla stop playing to the bullish sentiments of the lay man..
