Satyam Case: SAT Gives SEBI More Time To Pass Fresh Order

The Securities Appellate Tribunal has given more time to SEBI to pass a fresh order in the Satyam case with respect to the quantum of punishment given to the erstwhile company's founder B Ramalinga Raju and his brother B Rama Raju.

The tribunal on May 12 had asked SEBI to pass a fresh order, preferably within four months.

After taking up the matter with the consent of all parties, the SAT in a fresh order dated August 21 said, “Time to pass the order by SEBI is extended by 4 months from August 11, 2017.”

Markets regulator SEBI in July 2014 barred Ramalinga Raju and B Rama Raju and others from the securities market for 14 years. Besides, they were asked to return Rs 1,849 crore made in unlawful gains, with 12 percent interest.

Following SEBI's order, the two individuals had moved the tribunal in May.

While agreeing with SEBI's finding that the individuals violated regulations, the tribunal in its order in May had said the decision to uniformly restrain all the appellants from accessing the securities market for 14 years “without assigning any reasons is unjustified”.

Similarly, the quantum of illegal gains directed to be disgorged by each appellant is based on grounds which are mutually contradictory and also without application of mind, the tribunal had added.