SEBI to Pursue Legal Action Against ACB Court Ruling on Former Chairperson
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Synopsis
The Securities and Exchange Board of India (SEBI) plans to legally challenge the ACB Court's decision concerning its former Chairperson, Madhabi Puri Buch, citing the applicant as a habitual litigant. The agency emphasizes its commitment to regulatory compliance.
Key Takeaways
- SEBI will contest ACB Court's ruling.
- Madhabi Puri Buch was the first female Chairperson.
- Legal actions target listing irregularities from 1994.
- SEBI emphasizes regulatory compliance.
- New Chairman appointed following Buch's term.
Mumbai, March 2 (NationPress) The Securities and Exchange Board of India (SEBI) announced on Sunday that it will take appropriate legal actions to contest the ruling made by the ACB Court in Mumbai regarding its previous Chairperson, Madhabi Puri Buch.
In a statement, SEBI emphasized that the applicant is recognized as a frivolous and habitual litigant, with prior applications being dismissed by the court, often with costs imposed.
A Miscellaneous Application was submitted to the ACB Court, Mumbai, against the former SEBI Chairperson, three current Whole Time Members of SEBI, and two officials from the BSE, as stated by the capital markets regulator.
SEBI further noted that the application requested the police to file an FIR and investigate alleged irregularities regarding the listing permission granted to a company on the Bombay Stock Exchange in 1994, without adhering to the provisions of the SEBI Act, 1992, SEBI (ICDR) Regulations, 2018, and SEBI (LODR) Regulations, 2015.
Although these officials were not in their roles during the relevant period, the court accepted the application without providing notice or allowing SEBI to present its facts, according to SEBI's statement.
SEBI reiterated that it will be initiating legal steps to challenge this ruling and remains devoted to ensuring regulatory compliance in all matters.
Recently, the Appointments Committee of the Cabinet approved the appointment of Finance Secretary Tuhin Kanta Pandey as the new SEBI Chairman.
Buch’s term as SEBI Chairperson concluded on March 1, after she took office on March 2, 2022, making history as the first woman to lead the market regulator.
