Markets regulator Sebi today penalised Amar Traders & Finance for its failure to get registered with the regulator's online complaint redressal system.
Sebi said that by not obtaining Scores authentication, the company has denied the opportunity to investors to lodge their grievances, which exhibits its lackadaisical attitude.
"Failure of the noticee(Amar Traders & Finance) to obtain Scores authentication has deprived the investors of an avenue, through which they can seek redressal of their grievance...," Sebi said slapping a fine of Rs 2.5 lakh.
The regulator said that lack of due diligence showed by the company "is a risk to the securities market and thus loss to the investors to that extent that the noticee has still not obtained authentication even after three years of issuance of the Sebi circulars".
Scores, launched by Sebi in June 2011, provides a centralised database of all complaints. Online movement of complaints to the listed companies concerned and upload of their Action Taken Reports (ATRs) are done through this system.
It also helps investors view, track and follow up the action taken on their grievances. The online redressal system has significantly helped in reducing processing time of complaints.
