SAT puts a conditional stay on SEBI’s February 11 order against former MD & CEO
Securities and Appellate Tribunal (SAT) began hearing on an appeal filed by former NSE Managing Director and Chief Executive Officer Securities Chitra Ramkrishna on Monday. The appeal is against Market Regulator Securities and Exchange Board of India (सेबी)। In her appeal, Ramkrishna said that the market watchdog did not give her the opportunity to put her side before giving a final order.
In her appeal, she has alleged that a penalty was imposed on her after changing a law while the allegations of lapses in corporate governance against her were old.
Argument – The NSE decision to stop leave encashment and deferred bonus amount to interference in the internal matters of the एक्सचैंजेस। It was also argued that no investor had to bear any loss and yet there are allegations against her. The demand is to put bonus and leave encashment amount in a separate account instead of an investor protection fund.
The former MD & CEO has challenged the February 11 order of the SEBi before the SAT. SEBI had imposed a penalty of Rs 3 cr against Ramkrishna.It had also ordered putting Rs 4.37cr amount related to leave encashment and deferred bonus in investor protection fund. In the Chitra Ramakrishna case, SAT has stayed conditional stay on the SEBI order.Chitra Ramakrishna has to deposit Rs 2 cr.