Indianivesh Capitals Limited vs Sebi

Date of Decision : 07.08.2018

Misc. Application No. 200 of 2018 And Appeal No. 236 of 2018

IndiaNivesh Capitals Limited Regd.Office: 1705, 17th Floor, Lodha Supremus, Senapati Bapat Marg, Lower Parel (West), Mumbai - 400 013. ...Appellant

Versus [[

1.

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

2. Calcutta Stock Exchange Ltd.

7, Lyons Range, Dalhousie, Kolkata - 700 001.

West Bengal.

3. BSE Limited Exchange Plaza, Dalal Street, Mumbai - 400 001. ...Respondents

Mr. Prakash Shah, Advocate for the Appellant.

Mr. Tomu Francis, Advocate with Mr. Vivek Shah, Advocate i/b ELP for Respondent No. 1.

None for Respondent No. 2.

Mr. Pulkit Sukhramani, Advocate i/b The Law Point for Respondent No. 3.

CORAM : Dr. C.K.G. Nair, Member

Per : Dr. C.K.G. Nair (Oral) 2

1. This appeal has been filed to challenge the communication issued by

Securities and Exchange Board of India ('SEBI' for short) dated August 7,

2017 whereby, inter alia, the appellant company has been included in the list

of "suspected Shell companies". Counsel for the appellant submits that the

appellant has been making representations to SEBI and Calcutta Stock

Exchange ("CSE" for short) from time to time and despite hearing them in

December 2017 CSE has not yet passed any order so far. He further stated

that since he was expecting a decision from CSE there was a delay of 292

days in filing this appeal as he was pursuing the matter with SEBI and CSE

in the interim and hence delay may be kindly condoned.

2. The appellant is a company listed on the CSE. Despite giving notice

by the appellant to the CSE on July 11, 2018 with an advance copy of the

appeal paper book and intimation regarding date of hearing none appeared

for CSE on earlier date of hearing. Further, despite the issue of notice by

this Registry on July 24, 2018 none appeared on behalf of CSE even today.

On earlier occasions on July 11, 2018, July 17, 2018 and July 23, 2018 none

appeared on behalf of CSE. Given this non-cooperative attitude of CSE I

impose a cost of Rs. 25,000/- to be paid by the CSE to the "Registrar,

Securities Appellate Tribunal, Mumbai" within 15 days from today.

3. Learned counsel for SEBI also produces a letter on record dated July

19, 2018 directing CSE to dispose off the representations submitted / would

be submitted by the companies specified in the impugned communication of

SEBI dated August 7, 2017 as per bye-laws, regulations and rules.

4. Despite the fact that CSE has heard the appellant and received their

representations against the impugned communication of SEBI more than 6 3

months ago CSE has not yet passed any orders in the matter. Accordingly,

CSE is directed to pass the final order within a period of 21 days from

today.

5. Appeal is disposed of on the aforesaid terms.

6. In view of the disposal of the appeal Misc. Application No. 200 of

2018 does not survive and is disposed of with no order as to costs.

7. Registry is directed to serve a copy of this order to CSE today itself

for necessary action.

Sd/-

Dr. C.K.G. Nair Member 07.08.2018 Prepared and compared by:msb