Mass exodus of Sebi staff to highly paid jobs at foreign investment banks and multi-national companies is hampering the market regulator's operations, Sebi chief D R Mehta said. ``Last year, we recruited about 50 people. Only 40 joined and 15 left later for better jobs,'' Mehta told PTI.

Many staff, mainly from premier management institutes in the country, join Sebi to use it as a spring-board for higher remunerative jobs at investment banks. ``We don't want to stop anybody from leaving. If they get better salary and other benefits, why should they stay back,'' Mehta said.

Last year, a Sebi-staffer joined Credit Suisse First Boston (CSFB), an investment bank based in Switzerland, at a salary almost thrice he was earning in Sebi. Currently, Sebi has a combined staffstrength of around 350 in four offices of Mumbai, Delhi, Calcutta and Chennai.

This is far short of the actual requirement and Sebi is now planning to employ another 50 more. ``We have already invited applications and the recruitments would be over soon,'' said a Sebi official. According to Mehta, Sebi officers are on par with the Reserve Bank of India (RBI) staff in all respects vis-a-vis salaries and allowances. ``My officers travel by air when on duty and this helps them to complete the work on time, if not ahead of schedule,'' he said.

``One can't help it. The exodus exists in other places as as well,'' says a Sebi official in Delhi. He admitted that many people join Sebi only because they fail to get into foreign investment banks. Investment bankers get posting both in India and abroad and is considered top priority for young management students, he says.

``Our staff also go abroad for training,'' Sebi chief pointed out. He said during the last few years a large number of its staff visitedcountries for a first hand experience of the stock markets, thanks to the US-FIRE project, which funded the expenses. Since, US-FIRE withdrew its projects in India after the nuclear tests, there would be a fall in the number of visits. To equip the staff with the working of international exchanges and the regulation, it is necessary that Sebi staff visit and learn from other developed markets, Mehta pointed out.