Securities Appellate Tribunal Upholds Order for Public Disclosure, Limits Shareholding Changes; Grants Three Weeks for Reply Submission.

Seya Industries Ltd. Versus Securities and Exchange Board of India, Mumbai

Seya Industries Ltd. Versus Securities and Exchange Board of India, Mumbai - TMI The Securities Appellate Tribunal Mumbai, presided by Justice Tarun Agarwala and Ms. Meera Swarup, reviewed an appeal concerning an ex-parte ad-interim order cum show cause notice issued by the Whole Time Member (WTM) on March 20, 2023. The order directed Noticees 1 to 5 to publicly disclose the order's contents and update undisclosed material events to stock exchanges, and prohibited Noticees 2 to 5 from altering their shareholding.

The appellant complied with the disclosure requirement but sought inspection of documents and cross-examination of witnesses, though no reply to the show cause notice had been filed. The Tribunal decided not to interfere with the WTM's order at this stage but allowed the appellant to file a reply within three weeks to contest the interim direction. If filed, the authority must consider the reply and provide a hearing before making a decision. Meanwhile, the directive in paragraph 32(b) is stayed. The appeal was disposed of with these directions. The order will be digitally signed and available from the Registry.