SEBI-NSDL case gets messier, another PIL filed

Petitioner seeks court declaration of SEBI’s suppression of Final Orders as illegal, also demands details of investigation against CSDL 

Just days after the Andhra Pradesh High Court heard a PIL against SEBI for allegedly suppressing a series of final orders in connection with the 2004-05 IPO scam, another PIL has been filed in the same court a couple of days ago, by Srinivas Podichety, reports Web portal Bar &

The Bar & Bench article reports that the second writ petition, filed by Srinivas Podichety yesterday, has arraigned Dr Mohan Gopal and V Leeladhar as Respondents. These two constituted the two-member committee that examined various charges levelled by the regulator against NSDL in connection with the IPO scam of 2005. The petitioner is seeking a declaration from the AP High Court that the action of not publishing the Final Orders is illegal and is demanding production of all documents from SEBI. Mr Podichety is also seeking details of the investigation against Central Depository Services Limited (CDSL).

Previously, another aggrieved investor, V Narayan Reddy, had filed a writ petition in the Andhra Pradesh High Court, questioning the market regulator’s action of withholding a Final Order passed by its two-member committee with respect to the role of National Securities Depository Ltd (NSDL) in the IPO scam. He alleged that SEBI is not inclined to publish the Order to prevent adverse consequences for Mr Bhave, as he was the chairman and managing director of NSDL when the scam occurred. His petition also indicates that the report may have indicted SEBI as well as NSDL for failure to protect investors.

Sanket Dhanorkar [email protected]

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