Monika Garware vs Sebi

BEFORE THE SECURITIES APPELLATE TRIBUNAL MUMBAI Date: 23.04.2021

Appeal No. 187 of 2021

Garware Polyester Ltd. ...Appellant

Versus

Securities and Exchange Board of India ...Respondent

WITH Appeal No. 188 of 2021

Shashikant B. Garware ...Appellant

Versus

Securities and Exchange Board of India ...Respondent

WITH Appeal No. 189 of 2021

Monika Garware ...Appellant

Versus

Securities and Exchange Board of India ...Respondent

WITH Appeal No. 190 of 2021

Sheela S. Garware ...Appellant

Versus

Securities and Exchange Board of India ...Respondent 2

WITH Appeal No. 191 of 2021

Ms. Sonia Garware ...Appellant

Versus

Securities and Exchange Board of India ...Respondent

AND Appeal No. 192 of 2021

Ms. Sarita Garware Ramsay ...Appellant

Versus

Securities and Exchange Board of India ...Respondent

Mr. Somasekhar Sundaresan, Advocate with Mr. Sanjay Buch, Ms. Shruti Katakey and Ms. Yashvi Shah, Advocates i/b Crawford Bayley & Co. for the Appellants.

Ms. Nidhi Singh, Advocate with Mr. Hersh Choudhary, Ms. Nipa Paka and Ms. Riddhi Pawar, Advocates i/b Vidhii Partners for the Respondent.

ORDER:

1. These six appeals have been filed against a common order

and are being taken up together at the admission stage itself.

Connect with each other.

3

2. Three weeks time is allowed to the respondent to file a

reply. Three weeks thereafter to the appellants to file rejoinder.

List on June 22, 2021.

3. It transpires that a creeping acquisition was made over 9

years ago in violation of the disclosure obligations. It further

transpires that the appellants having realised this fact

immediately rectified the error on October 18 and October 23,

2012 and intimated the stock exchange. Inspite of this, a show

cause notice was served after 9 years and thereafter the

impugned order was issued. Prima facie there appears to be an

inordinate delay in the issuance of the show cause notice. In

view of the aforesaid, we direct that no realization of the penalty

amount pursuant to the impugned order will be made from the

appellants till the next date of listing.

4. Parties are directed to take instructions from the Registrar

48 hours before the date fixed in order to find out as to whether

the matters would be taken up for hearing through video

conference or through physical hearing.

5. The present matters were heard through video conference

due to Covid-19 pandemic. At this stage it is not possible to sign 4

a copy of this order nor a certified copy of this order could be

issued by the Registry. In these circumstances, this order will be

digitally signed by the Private Secretary on behalf of the bench

and all concerned parties are directed to act on the digitally

signed copy of this order. Parties will act on production of a

digitally signed copy sent by fax and/or email.

Justice Tarun Agarwala Presiding Officer

Justice M. T. Joshi Judicial Member 23.04.2021 RAJALA Digitally signed by

PK KSHMI RAJALAKSHMI H NAIR

H NAIR Date: 2021.04.26 16:21:22 +05'30'