SAT vs SEBI

A recent order by the Securities Appellate Tribunal (SAT) has brought to the fore the issue of lack of uniformity in actions taken by the Securities and Exchange Board of India (SEBI) in similar offences by different market participants.

Background:

The order came based on an appeal filed by Almondz Global Securities Ltd. The company had alleged that SEBI has imposed stricter penalties while similar offences by other entities saw a much lenient penal action by SEBI officials. SAT has quashed the remaining punishment against the merchant banker after highlighting this fact.

About SAT:

Securities Appellate Tribunal is a statutory body established under the provisions of Section 15K of the Securities and Exchange Board of India Act, 1992 to hear and dispose of appeals against orders passed by the Securities and Exchange Board of India or by an adjudicating officer under the Act and to exercise jurisdiction, powers and authority conferred on the Tribunal by or under this Act or any other law for the time being in force. It covers the whole of India.