The Securities Appellate Tribunal (SAT) on Monday disposed of appeals filed by five foreign portfolio investors named in the Hindenburg report as the market regulator, Securities and Exchange Board of India (Sebi), agreed to share the file noting by the adjudicating officer.
The five FPIs — LTS Investment Fund, Asia Investment Corporation Mauritius, APMS Investment Fund, Albula Investment Fund, and Cresta Fund — were named by the now-defunct short-seller Hindenburg Research in its report against the Adani group.
In their appeal, they had referred to Rule 4(3) of the Sebi (Procedure for Holding Inquiry and Imposing Penalties) Rules, 1995, claiming that it mandates the adjudicating officer to form an opinion on whether a formal inquiry should be held after considering the response from noticees to a show-cause notice.
The market regulator had objected to the maintainability of the appeals in the tribunal.
“In these appeals, Sebi is prepared to provide a true type copy of the file noting made by the officer under regulation 4.3…This should satisfy the appellant and nothing further survives in this appeal,” the bench noted.
The written order of the bench is awaited.
