Bourses should learn to say no to SME IPOs: Ashwani Bhatia

Stock exchanges should learn to say 'no' to public listings of small and medium enterprises(SMEs), said a senior Sebi official on Monday. "I was a banker and I was told to say no when required," Sebi whole-time member Ashwani Bhatia said at an industry event.

"Nobody is saying no to SME listings, even when they inflate their balance sheets. The auditors should be good doctors - don't give them steroids when they can survive on paracetamol," he said adding lack of due diligence from auditors had led to inadequate checks and balances.

According to Sebi, During the last decade, more than ₹14,000 crore has been raised through this platform, of which around ₹6,000 crore was raised during FY24.