JSA advised and successfully defended Sharekhan Commodities Pvt. Ltd (“SCPL”) in proceedings initiated by the Securities and Exchange Board of India (“SEBI”) in the matter of National Spot Exchange Limited (“NSEL”), under the SEBI (Intermediaries) Regulations, 2008. It was alleged that on account of SCPL’s facilitation of trading on NSEL for some of its clients, SCPL was no longer a “fit and proper person” and accordingly, its registration as a stock broker ought to be cancelled. Vide its order dated June 14, 2023, SEBI concluded the proceedings against SCPL without any adverse observations/directions.
Enquiry proceedings under Chapter V of the SEBI (Intermediaries) Regulations, 2008 (“Intermediaries Regulations”) were initiated against SCPL. A show cause notice was issued under Regulation 25 of the Intermediaries Regulations by the Designated Authority (“DA”) calling upon SCPL to show cause as to why action, including cancellation of registration, against SCPL should not be recommended. Pursuant to receipt of the recommendations of the DA, a show cause notice was issued by the Competent Authority (“CA”) under Regulation 28 of the Intermediaries Regulations calling upon SCPL to show cause as to why action recommended by the DA or any other action should not be taken against SCPL.
Pursuant to a personal hearing before the competent authority, the proceedings were concluded against SCPL without any adverse observations/ directions.
Our Team Comprised lead Partner – Vikram Raghani, Partner – Pulkit Sukhramani, Senior Associate – Vidhi Jhawar, and Associate – Deepank Anand.
Pulkit Sukhramani specializes in Securities Litigation and Advisory.