Paper folders are displayed for sale at a store. (Photographer: Patrick T. Fallon/Bloomberg)

Investor Complaints Hit Six-Year High In FY18

Investor complaints against listed firms and market intermediaries rose to over 43,000 in 2017-18, making it the highest in six years, even as the Securities and Exchange Board of India continues to dispose of such grievances expeditiously.

According to SEBI’s latest annual report, the regulator received 43,131 investor complaints last fiscal as compared to 40,000 in 2016-17. This was the highest since 2011-12, when more than 46,548 complaints were received.

As of March this year, 30.4 lakh complaints were cumulatively registered with SEBI, which was higher than 30.03 in the year before. During the same period the number of pending actionable complaints have been reduced from 4,476 to 3,771.

Out of total pending grievances, only 647 were remaining for more than six months compared to 984 such cases pending as on March 31, 2017. “The number of pending grievances has been steadily declining over the years due to expeditious disposal at the end of SEBI,” the regulator noted.

Also read: Fund Managers Fear Foreign Outflows After SEBI’s New Rules

SEBI said it has been taking various regulatory measures to expedite the redressal of investor grievances. The grievances lodged by investors are taken up with the respective listed company or intermediary and continuously monitored.

Complaints pertaining to stock brokers and depository participants are taken up with concerned stock exchange and depository for redressal and monitored by the concerned department through periodic report obtained from them.

The SEBI Complaints Redressal System (SCORES) permits investors to directly lodge a complaint online, however, the regulator also uploads physical complaints into the system.