Section 20 of The Securities and Exchange Board of India Act, 1992
- (1)Any person aggrieved by 2[an order of the Board made, before the commencement of the Securities Laws (Second Amendment) Act, 1999 (32 of 1999),] under this Act, or the rules or regulations made thereunder may prefer an appeal to the Central Government within such time as may be prescribed.
- (2)No appeal shall be admitted if it is preferred after the expiry of the period prescribed therefor: Provided that an appeal may be admitted after the expiry of the period prescribed therefor if the appellant satisfies the Central Government that he had sufficient cause for not preferring the appeal within the prescribed period.
- (3)Every appeal made under this section shall be made in such form and shall be accompanied by a copy of the order appealed against and by such fees as may be prescribed.
- (4)The procedure for disposing of an appeal shall be such as may be prescribed: Provided that before disposing of an appeal, the appellant shall be given a reasonable opportunity of being heard.
Summary
- Anyone who is negatively affected by an order made by the Board before the 1999 amendment can appeal the decision to the Central Government.
- The appeal must be submitted within a specific time limit that is set by the rules.
- If a person misses the deadline, the Central Government can still accept the appeal if the person proves they had a valid and sufficient reason for the delay.
- The appeal must be submitted on a specific form, include a copy of the disputed order, and be accompanied by a required fee.
- The government cannot decide the appeal without first giving the person a fair chance to be heard and present their case.
Practical examples
FAQ
1. Who do I appeal to if the Board made an order against me before the 1999 changes?
You must send your appeal to the Central Government.
2. What happens if I miss the deadline to file my appeal?
Your appeal will usually be rejected. However, if you can prove you had a genuine and acceptable reason for the delay, the government might still admit it.
3. Do I need to pay anything to file this appeal?
Yes, the appeal must be accompanied by the prescribed fees.
4. Can the government reject my appeal without listening to my side?
No, the law requires that you be given a reasonable opportunity to be heard before your appeal is decided.
Test yourself
Q1.Under Section 20 of The Securities and Exchange Board of India Act, 1992, who is the proper authority to hear an appeal regarding an order made before the 1999 amendment?
Q2.Under Section 20 of The Securities and Exchange Board of India Act, 1992, what is required for the Central Government to admit an appeal after the prescribed period has expired?
Q3.Under Section 20 of The Securities and Exchange Board of India Act, 1992, what must accompany the appeal form when it is submitted?
Q4.Under Section 20 of The Securities and Exchange Board of India Act, 1992, what procedural right must be granted to the appellant before the appeal is disposed of?