Bombay HC disposes Sebi plea against CIC

Says petition doesn't survive since Delhi HC has set aside CIC order

The Bombay high court on Wednesday disposed the petition filed by market regulator Securities and Exchange Board of India (Sebi) against the Chief Information Commissioner (CIC) directing it to disclose information in the 2007 Reliance Industries (RIL) insider trading case.

The division bench comprising of Justice S J Vazifdar and Justice Mridula Bhatkar disposed Sebi’s plea, while observing that since Delhi HC had set aside the CIC order, this petition did not survive.

On January 31, the Delhi HC had set aside the November 6 order of CIC on the grounds that RIL was not given an opportunity to present its case before passing the impugned order.

The CIC order was based on an appeal by Bangalore-based lawyer Arun Agarwal under the Right to Information Act.

Agarwal had sought from Sebi details including the investigation reports and identities of entities that helped RIL offload over four per cent stake in subsidiary Reliance Petroleum in November 2007.

While Sebi had refused to share the details, saying the investigations were not complete, CIC had directed it to disclose the details, saying it was in ‘public interest’.

Sebi had moved the Bombay HC against the order, while RIL had challenged it in the Delhi HC. The Bombay HC had later made RIL party to the case and had agreed on Mukesh Ambani-controlled company’s request to postpone the hearing till the Delhi HC decision.

RIL has also challenged Sebi's rejection of a consent request and refusal to give documents in the same case before the Securities Appellate Tribunal (SAT).  SAT is likely to hear RIL's appeal on March 14.