You are here: Home » PTI Stories » National » News
Business Standard

SEBI chief appointment under SC's scrutiny

Press Trust of India  |  New Delhi 

A bench of justices S S Nijjar and H L Gokhale, however, refused to issue notice to the Centre on the plea for a CBI inquiry into appointment of Sinha.

The court passed the order on a PIL filed by one Arun Kumar Aggarwal seeking quashing of Sinha's appointment.

The bench impleaded the President's Secretary Omita Paul, who was advisor to the then finance minister, when the decision to appoint Sinha as SEBI chairman was taken.

The impleading was done after it was alleged that the process of selection of SEBI chairman was interfered with due to which incumbent C B Bhave was refused extension and Sinha appointed.

It was contended that Sinha had not even applied for the post.

"The earlier Chairman could not get further extension though he was entitled to get extension of two years as per the amended notification," advocate Prashant Bhushan, appearing for the petitioner said.

He submitted that all the authorities concerned including the then Finance Minister had approved Bhave's extension and the file was sent to appointments committee but the file was called back to the Ministry and proceedings for Sinha's appointment was then initiated.

He submitted that the "appointment of Sinha is malafide and a result of deep-rooted conspiracy" and placed various documents which were procured through Righ to Information Act to buttress his allegations.

Paul, who was not made party in the petition, was impleaded with the court saying "only she can answer these allegations".

"Sinha failed to fulfil one of the eligibility conditions as laid down in the SEBI Act which requires that the Chairman shall be a person of high integrity. He is not a person of high integrity as is apparent from various facts," Bhushan further said.

Dear Reader,

Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor

First Published: Wed, September 26 2012. 16:35 IST