Briefing the press here on Wednesday, Sebi chairman D R Mehta said the regulator had tracked over 1210 companies that made initial public offers (IPOs) during 1994-95 and zeroed in on 17 of them that were neither traded nor had complied with requirements under the listing agreement.

Another 21 companies, whose whereabouts were unknown, surfaced after a similar enquiry into IPOs made during 1992-93, he added.

``This is contrary to the popular belief that, during the era of free pricing, many companies tapped the primary market with issues priced at a premium and soon vanished,'' he added.

The market regulator was also debating whether to appoint an independent body for calculation of net asset value (NAV) of mutual funds, said Sebi executive directorAshok Kakkar. ``We have received representations from investors and some mutual funds on discrepancies in NAV valuation and that it should be entrusted to an independent body,'' he said adding the proposal was presently under consideration of the association of mutual funds of India (AMFI).

Sebi was also making a pitch for the growth of venture capital funds (VCFs) in India said senior executive director, O P Gahrohtra.

``The development of the venture capital industry has been constrained due to restrictive income tax norms for investment by VCFs and we are asking that they be brought in harmony with Sebi regulations so as to enable VCFs to invest in all instruments,'' he said.

``India has no dearth of creative and scientific talent, then why is it that we cannot create a microsoft here,'' he asked. Sebi has also asked for a rationalisation of the tax structure so as to bring VCFs on par with mutual funds.

The regulator has proposed that provident funds, pension funds, insurance companies and mutualfunds be allowed to invest in VCFs and that the 30 per cent investment limit on inter-corporate deposits may also be relaxed for VCFs.