Opg Securities Pvt. Ltd. & Ors. vs Sebi

appellants and Mr. Pradeep Sancheti, learned senior counsel for the

SEBI.

2. Mr. Gaurav Joshi, learned senior counsel vehemently contended

that, in the remand order passed by this Tribunal on January 23,

2023, this Tribunal has set aside the impugned order dated April 30,

2019 and directed the WTM, SEBI to decide the quantum of

disgorgement afresh.

3. Pursuant to the subsequent order passed by this Tribunal on

May 15, 2023, SEBI has permitted inspection of documents by the

appellants. Shri Joshi made particular reference to the note sheet

dated March 6, 2023 and contended that the SEBI has sought to

revise the methodology to quantify the quantum of unlawful gains.

This does not fall within the scope of remand order. Therefore, the 3

WTM does not have jurisdiction to pass order in the matter unless he

decides the question of jurisdiction as a preliminary issue. He further

submitted in the case of noticee nos. 5 the WTM has been directed to

decide the jurisdictional aspect as a preliminary issue.

3. Shri Pradeep Sancheti, learned senior counsel for the SEBI

submitted that as directed by this Tribunal inspection has been given

to the appellants and hearing of matter is complete. He contended

that appellant did not raise this point in the previous round of

litigation. With regard to noticee nos. 5, he submitted that noticee

nos. 5 has obtained an order from the Hon'ble Bombay High Court

directing the SEBI to pass an order on the jurisdictional aspect as a

preliminary issue and there is no such direction in appellant's case.

He argued that this appeal has been filed only to delay the

proceedings.

4. In reply, Shri Gaurav Joshi submitted that jurisdiction issue

goes to the root of the matter. Once there is no jurisdiction, any

order passed by the WTM shall be otiose. With regard to completion

of arguments, he prayed that appellant may be granted one or two

more days to complete the submissions.

5. In the peculiar facts and circumstances of the case, namely,

that there has been an earlier remand order and a subsequent order of

May 15, 2023 to provide inspection of the documents which has been 4

complied with; and appellant has presented substantial arguments

and on instruction Mr. Joshi needs one or two days to complete the

argument. In our opinion, it is just and appropriate for WTM to pass

a comprehensive order on all issues including the jurisdictional issue.

In the result, this appeal fails and is accordingly dismissed.

6. We direct the SEBI to grant two day's time to the appellant to

complete the submissions within an outer limit of two weeks from

today. Appellants are granted two weeks' time after conclusion of

hearing to file their written submissions. SEBI shall pass final order

within 8 weeks therefrom.

7. All intelocutary applications stand disposed of.

8. No costs.

Justice P. S. Dinesh Kumar Presiding Officer

Ms. Meera Swarup Technical Member

Dr. Dheeraj Bhatnagar Technical Member 24.06.2024 PRAMILA Digitally signed by PRAMILA TANAJI MISAL TANAJI MISAL Date: 2024.06.25

PTM 14:25:29 +05'30'