Adhunik Industries Limited vs Sebi

Date of Decision : 21.09.2017

Appeal No. 215 of 2017

Adhunik Industries Limited 14, Netaji Subhas Road, Kolkata - 700001, West Bengal. ...Appellant

Versus

1.

National Stock Exchange of India Limited Exchange Plaza, C-1, Block G, G-Block, Bandra-Kurla Complex, Bandra (East), Mumbai - 400 051.

2. BSE Limited Floor 25, P.J. Towers, Dalal Street, Mumbai - 400 001.

3. Securities and Exchange Board of India SEBI Bhavan, Plot No. C-4A, G-Block, Bandra-Kurla Complex, Bandra (East), Mumbai - 400 051. ...Respondents

Mr. Mustafa S. Doctor, Senior Advocate with Mr. Amit Dey, Mr. Sharan Jagtiani, Mr. Jitesh Maheshwari and Mrs. Akshaya Bhansali, Advocates i/b Mindspright Legal for the Appellant.

Ms. Rashi Agarwal, Advocate i/b Manilal Kher Ambalal & Co. for Respondent No. 1.

Mr. Nair Renjith Ramesh, Advocate i/b The Law Point for Respondent No. 2.

Mr. Gaurav Joshi, Senior Advocate with Mr. Tomu Francis and Mr. Vivek Shah, Advocates for Respondent No. 3.

CORAM : Justice J.P. Devadhar, Presiding Officer Dr. C.K.G. Nair, Member

Per : J.P. Devadhar (Oral) 2

1. Appellant is aggrieved by the communication of Securities and

Exchange Board of India ('SEBI' for short) addressed to the three Stock

Exchanges on August 7, 2017 and the consequential orders passed by

National Stock Exchange of India Limited ('NSE' for short) and BSE

Limited ('BSE' for short) on August 7, 2017 itself.

2. It is not in dispute that on August 9, 2017 appellant had made a

representation to SEBI against the impugned communication of SEBI dated

August 7, 2017. Since no action was taken on the said representation dated

August 9, 2017, appellant filed the present appeal.

3. On September 6, 2017 this Tribunal directed SEBI to file its reply

and adjourned the matter to September 21, 2017. In the meantime, SEBI

offered personal hearing to the appellant on September 15, 2017 wherein

appellant was called upon to furnish certain information.

4. It is the case of the appellant that some of the particulars sought by

the Whole Time Member ('WTM' for short) of SEBI have already been

furnished and the remaining information sought by the WTM of SEBI vide

e-mail dated September 18, 2017 would be furnished by the appellant to

SEBI on or before by September 25, 2017.

5. After hearing counsel on both sides, in the peculiar facts of present

case, and in view of facts set out in para 5 of the memorandum of appeal, in

our opinion, it would be just and proper to direct SEBI as also NSE and BSE

to forthwith reverse their decisions all dated August 7, 2017 qua the

appellant, which were all passed without hearing the appellant. Accordingly

we direct SEBI and also the stock exchanges to reverse their decisions all

dated August 7, 2017 qua the appellant forthwith. 3

6. It is made clear that this order shall not come in the way of SEBI as

also the stock exchanges to investigate the case of the appellant company

further and initiate proceedings if deemed fit.

7. Appeal is disposed of in the aforesaid terms with no order as to costs.

Sd/-

Justice J.P. Devadhar Presiding Officer

Sd/-

Dr. C.K.G. Nair Member

21.09.2017 Prepared and compared by: msb