https://www.taxtmi.com/caselaws?id=778273 Prior regulatory exoneration bars criminal prosecution only when the earlier adjudication contains a clear, categorical finding on merits that the allegations are wholly unsustainable and the accused is innocent. A mere absence of penalty, or findings limited to narrow aspects, is not enough. Here, the adjudication order did not record a clean finding of innocence and instead referred to the applicant's participation in the company's activities and lack of due diligence as chief executive officer. At the discharge stage, the court needed only to see whether sufficient grounds existed to proceed, and the complaint material disclosed a prima facie case. Discharge was therefore refused. en-us Thu, 11 Sep 2025 00:00:00 +0530 Sat, 13 Sep 2025 08:47:15 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=778273 Prior regulatory exoneration bars criminal prosecution only when the earlier adjudication contains a clear, categorical finding on merits that the allegations are wholly unsustainable and the accused is innocent. A mere absence of penalty, or findings limited to narrow aspects, is not enough. Here, the adjudication order did not record a clean finding of innocence and instead referred to the applicant's participation in the company's activities and lack of due diligence as chief executive officer. At the discharge stage, the court needed only to see whether sufficient grounds existed to proceed, and the complaint material disclosed a prima facie case. Discharge was therefore refused. Case-Laws SEBI Thu, 11 Sep 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=778273