Bombay High Court Sets Asides SEBI Order, Says NDTV
Prannoy Roy in New Delhi, India. (Photographer: Sanjit Das/Bloomberg News)

Bombay High Court Sets Asides SEBI Order, Says NDTV

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Private TV channel New Delhi Television Ltd. on Thursday said it has got relief from the Bombay High Court, which has set aside an order passed by the market regulator Securities and Exchange Board of India .

SEBI had rejected NDTV’s plea on condonation of delay in filing settlement applications before the market regulator after it initiated adjudication proceedings against the private TV channel for alleged violations of the Securities Contract (Regulation) Act, 1956.

Bombay High Court has ruled in favour of NDTV in a writ petition filed by the company. In its order, dated Sept. 4, 2019, the High Court said SEBI has committed a serious error, said a BSE filing by NDTV.

NDTV in its writ petition had challenged the orders passed by SEBI on Aug. 23, 2017 and Aug. 31, 2017, rejecting settlement applications filed by the company and its/directors/KMPS inter alia in the alleged delayed disclosure of a Rs 450 crore disputed tax demand and other alleged non-disclosures.

SEBI had rejected the settlements on account of delay in filing the settlement applications. In the said matter, the Bombay High Court vide its judgment on Sept. 4, 2019, has allowed the writ petition filed by the company and has set aside the impugned orders dated Aug. 23, 2017 and Aug. 31, 2017 passed by SEBI, the company said.

“The High Court has further condoned the delay in filing the settlement applications and has directed SEBI to decide the said applications on merits. Consequently, the High Court has further directed that if any order of adjudication has been passed after the filing of the settlement applications in respect of the show cause notices, which are the subject matter of these settlement applications, the same would be rendered invalid,” it added.

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