Kuber Finstock Private Limited And Others vs Securities And Exchange Board Of India

Tarun Agarwala, Presiding Officer

Three appeals have been filed against a common order dated May 30, 2023 passed by the Executive Director of the Securities and Exchange Board of India (‘SEBI’ for short) wherein appellants have been restrained from accessing the securities market for a period of three years.

The ground urged is, that there is an inordinate delay in the initiation of the proceedings as well as in the disposal of the proceedings. It was contended that the transaction in question is of the year 2001-02 and the show cause notice was issued on October 30, 2015. On the other hand, the learned senior counsel for the respondent contended that the delay is not on account of their fault but on account of the fact that some of the noticees had filed writ petitions before the Chennai High Court wherein interim orders were passed staying proceedings.

Considering the aforesaid, the learned senior counsel fairly conceded that the respondent would be satisfied if the impugned order debarring the appellants is reduced to the period undergone by the appellants. This concession made by the respondent is acceptable to the appellants.

In view of the aforesaid, without going into the merits of the case we dispose of the matter reducing the period of three years to the period undergone by the appellants. Appeals are partly allowed. The miscellaneous applications are disposed of.