Radhika Santhanakrishnan vs Sebi
- CitationAppeal No. 118 of 2019
Ratio decidendi
The rule this decision rests on
The appeal was disposed of because the respondent's affidavit of July 8, 2019 stated that, on a fresh assessment, the fair value of the appellant company's shares was nil; the Tribunal held that a fair value which is nil and not positive takes the case outside the action provided under Regulation 23(3) of the Delisting Regulations, 2009, so that the impugned compulsory delisting order need not be further examined on the valuation challenge.
Written by Miss Lucy from the judgment below, not taken from a headnote.
Judgment
As delivered
Date of Decision : 22.07.2019
Appeal No. 118 of 2019 Radhika Santhanakrishnan 15, Krishnaswamy Iyer Avenue, Luz, Chennai - 600 004. ... Appellant
Versus
1.
BSE Ltd.
Floor 25, P. J. Towers, Dalal Street, Fort, Mumbai - 400 001.
2. S & S Industries and Enterprises Ltd. 204, SIDCO AIEMA TOWER, First Main Road, Ambattur Industrial Estate, Chennai 600 058. ...Respondents
Mr. Somasekhar Sundaresan, Advocate with Mr. Rajesh Khandelwal, Advocate i/b Juris Link for the Appellant. Mr. Manish Chhangani, Advocate i/b Khaitan & Co. for the Respondent Nos. 1.
None for the Respondent Nos. 2.
CORAM : Justice Tarun Agarwala, Presiding Officer Dr. C. K. G. Nair, Member Justice M. T. Joshi, Judicial Member
Per : Justice Tarun Agarwala, Presiding Officer (Oral)
1. The Delisting Committee of BSE Ltd. (hereinafter referred to
as, 'BSE') passed the impugned order dated June 26, 2018 under
Regulations 22(2) of the Securities and Exchange Board of India 2
(Delisting of Equity Shares) Regulations, 2009 (hereinafter referred
to as, 'Delisting Regulations') directing the appellant company to be
compulsorily delisted from the exchange.
2. The present appeal has been filed questioning the fair value of
the company determined by the independent valuer appointed by the
exchange. An affidavit in reply dated July 8, 2019 has been filed by
the respondent today indicating that pursuant to a fresh assessment
the value of the shares of the company is now NIL.
3. In view of the aforesaid affidavit filed by the respondent
indicating that the fair value of the shares of the company is now NIL
and is not positive, the action provided under Regulation 23(3) of the
Delisting Regulations will not be applicable to the appellant
company.
4. In view of the aforesaid the appeal is accordingly disposed of.
Sd/-
Justice Tarun Agarwala Presiding Officer
Sd/-
Dr. C. K. G. Nair Member
Sd/-
Justice M. T. Joshi Judicial Member 22.07.2019 Prepared & Compared by PTM
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