Securities Appellate Tribunal (SAT) today set aside Sebi order against Splash Media & Infra and has asked the market regulator to pass a fresh ruling in the case related to violation of disclosure norms.
In March, Splash Media & Infra was imposed with a penalty of Rs 15 lakh by the Securities and Exchange Board of India (Sebi) for violating various provisions of the disclosure norms. According to Sebi, the firm had failed to make disclosures within a stipulated time given under the norms.
The company had filed an appeal with SAT against the order by the Securities and Exchange Board of India (Sebi).
In its order today, SAT said "we set aside the adjudication order dated March 25, 2014 and restore the matter for fresh decision on merits and in accordance with law after considering the submissions made by appellant".
SAT observed that each regulation with respect to failure to make disclosure attracts an independent penalty.
"...In the facts of present case, where there are multiple offences it would be just and proper to impose penalty for each offence independently depending upon the delay or default in making disclosures which are mandatory," SAT said in the order.
Splash Media & Infra (earlier known as Splash Mediaworks) had failed to comply with Sebi's regulations for the years 1998 to 2003, 2005 and 2006, within the stipulated time.
