SEBI to hire experts for cyber security

Market regulator, Securities and Exchange Board of India (SEBI), is planning to beef up its IT team with experts from cyber security arena to ensure stronger firewalls against cyber attacks and faster corrective measures.

This comes at a time when several malware attacks have come to light globally including in India.

While the stock market arena has so far not witnessed any major attack, the exchanges have been repeatedly warning listed companies and various intermediaries to strengthen their systems and keep a constant vigil for all kinds of cyber threats.

The regulator plans to hire four grade A officers in its IT stream and wants the aspirants to have extensive experience in cyber security space. SEBI said it is looking for officers who have knowledge of global best practices in the area of cyber security and IT, and are familiar with the compliance requirements of cyber security policies.

These officers would be required to take corrective measures and prudent response in case of cyber attacks. Their role would also involve installation of firewalls and data encryption, development, implementation and ensuring compliance with cyber security policies and procedures.

They will also conduct simulation of cyber attacks. Besides, they will work on implementation and monitoring of IT related projects, review of IT architecture and other infrastructure related initiatives.

SEBI also wants them to be familiar with internal policies on IT deployment, usage and implementation of these policies and prepare standard operating procedures and processes, besides working on implementation of system audits and formulation of IT strategy.

SEBI has already asked stock exchanges and other institutions to keep a constant vigil on cyber threats globally and take lessons to put in place necessary safeguards.

SEBI is also appointing an adviser for cyber security and IT, who will be responsible for strengthening its regulatory policy framework in this space. The adviser would monitor the implementation of the regulatory policies across securities markets and also help enhance capacity building at SEBI and various market participants with respect to cyber security.

The officer would also develop a stress testing mechanism to mitigate risks arising out of cyber attacks while a framework will be put in place for taking correctives and a prudent response in case of such an emergency at the regulator or market participants. The adviser has to prepare inputs for regulatory policy development, formulate IT strategy, identify specific initiatives and a five-year road map.

In May, SEBI had set up a four-member panel, chaired by SEBI whole time member Madhabi Puri Buch, on cyber security to suggest measures to ring fence capital markets from cyber attacks.

In July, the regulator said it will undertake a comprehensive review of technology and systems at all market institutions including exchanges, to safeguard the marketplace from cyber threats and technical glitches.

SEBI had held a meeting with the stock exchanges on July 28 against the backdrop of the recent case of a technical glitch at NSE, due to which trading had to be halted for over three hours on July 10.