Sebi special court to come up in national capital

To fast-track proceedings and ensure timely disposal of cases filed by capital market regulator Securities and Exchange Board of India (Sebi), a special court is in the process of being set up in the national capital.

This would be the fourth special court to be established in the country to hear cases filed by the Sebi.

Following amendment in the Sebi Act, back in 2014, three special courts have already been constituted in Mumbai, Kolkata and Chennai.

The setting up of a special court in Delhi is under process, a senior official said.

These courts are empowered to hear the prosecution cases filed by the regulator, which would help in overcoming inherent delays and conclude the matter in a time-bound manner.

These are set up after consultations between the government and the high courts concerned.

A special court will have a single judge appointed by the central government with the concurrence of the Chief Justice of the High Court within whose jurisdiction the judge to be appointed is working.

In its efforts to clamp down on violations of capital market regulations and protect interest of investors, the watchdog has powers to recover penalties from violators.

The recovery powers include attachment of bank accounts, sale of the defaulters' assets, appointment of receiver as well as arrest and detention of the defaulter.