Anant Mittal Beneficiary Trust vs Assistant Manager

Tarun Agarwala, Presiding Officer

For the reasons stated in the application, the delay in filing the appeal is condoned. The application is allowed.

In the matter of M/s. Sulabh Engineers and Services Ltd., the Whole Time Member (hereinafter referred to as ‘WTM’) debarred 102

entities from accessing the securities market directly or indirectly for specified periods as mentioned in the order dated 3rd September, 2020 and the

corrigendum dated 7th September, 2020. Mrs. Deepa Mittal is one of the entities who have been debarred by the order of the WTM.

In the instant case, it is alleged that Anant Mittal Beneficiary Trust which is an unregistered trust has a demat account which is being operated by

Mrs. Deepa Mittal.

Based on the order of the WTM dated 3rd September, 2020, Mrs. Deepa Mittal has been restrained from operating the demat account of the Trust.

It transpires that an application was filed by the appellant praying that Mrs. Deepa Mittal may be allowed to operate but the said request was rejected

by the impugned order against which the present appeal has been filed.

Having heard the learned counsel for the parties, we are of the opinion that so long the restraint order continues against Mrs. Deepa Mittal, she

cannot be allowed to operate the demat account of the trust. We are of the opinion that the order of the WTM debarring the entities (including Deepa

Mittal) from accessing the securities market directly or indirectly for a specified period will come in the way. Thus, we do not find an infirmity in the

order passed by the respondent rejecting the application of the appellant.

We may, however, observe that in the event the appellant resigns as a Trustee and someone else is authorised to operate the demat account then a

fresh application could be moved for appropriate orders which will be considered and decided by the respondent.

The appeal is dismissed with the aforesaid observations.

The present matter was heard through video conference due to Covid-19 pandemic. At this stage it is not possible to sign a copy of this order nor a

certified copy of this order could be issued by the registry. In these circumstances, this order will be digitally signed by the Private Secretary on behalf

of the bench and all concerned parties are directed to act on the digitally signed copy of this order. Parties will act on production of a digitally signed

copy sent by fax and/or email.