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Judgment
Tarun Agarwala, Presiding Officer
The appellant has challenged the present appeal questioning the veracity of the communication made by the Recovery Officer through his emails
dated 27th November, 2019 and 9th December, 2019.
It transpires that the Adjudicating Officer passed an order dated 31st July, 2019 imposing a penalty of Rs.49 lakhs. The appellant filed a Review
Application before the Adjudicating Officer which is pending consideration.
In the meanwhile, the Recovery Officer has initiated proceedings for recovery of the amount pursuant to th Adjudicating Officer’s order dated
31st July, 2019. It further transpires that the appellant filed an application/request for stay of the recovery proceedings pending adjudication of his
review application. This request was rejected through the impugned communication on the ground that the Adjudicating Officer has become functus
officio and that the notification dated 8th March, 2019 amending Securities and Exchange Board of India (Procedure for Holding Inquiry and Imposing
Penalties by Adjudicating Officer) Rules, 1995 is not applicable in as much as the said amendment relates to the rectification of any clerical error.
Having perused the amendment we do not find any manifest error in the communication issued by the Recovery Officer through emails dated 27th
November, 2019 and 9th December, 2019.
The appeal is dismissed. It is open to the appellant to question the veracity of the order of the Adjudicating Officer before the appropriate forum.