Master Circular on the redressal of investor grievances through the SEBI Complaints Redress System (SCORES) platform
Summary
This circular mandates that investors must first attempt to resolve grievances directly with the concerned entity before filing a complaint on the SCORES platform. It outlines specific timelines for redressal, registration requirements for investors and entities, and categories of complaints excluded from SCORES jurisdiction. Additionally, it details authentication procedures for intermediaries and listed companies, as well as the role of stock exchanges in handling certain complaints. This section details the enforcement mechanisms for listed companies failing to redress investor grievances within 60 days, including escalating fines and shareholding freezes. It establishes procedural requirements for Action Taken Reports (ATRs) via SCORES and defines the conditions under which complaints are considered resolved or pending. The part concludes with transitional provisions rescinding previous circulars while preserving prior actions and liabilities. This part defines the specific nature of investor complaints covered by the circular and lists grievances excluded from stock exchange handling. It establishes strict timelines for listed companies to respond to complaints received via SC
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it is now mandatory for investors to first take up their grievances for redressal with the entity concerned... In case, the entity concerned fails to redress the complaint within the timeline provided herein, the investor may then file their complaint in SCORES.
Investors who wish to lodge a complaint on SCORES (complainant) are required to register themselves on www.scores.gov.in... details like Name of the investor, Permanent Account Number (PAN), contact details, email id... are required to be provided
Such a complaint is called a “Direct Complaint” and shall be redressed by the entity within 30 days without any intervention of SEBI, failing which the complaint shall be registered on SCORES.
the complaint shall be lodged on SCORES within one year from the date of cause of action, where; i. the complainant has approached the listed company or registered intermediary / MII... ii. The concerned listed company or registered intermediary/ MII has rejected the complaint... iii. The complainant has not received any communication... iv. The complainant is not satisfied with the reply received
SEBI reserves its right to reject a complaint lodged on SCORES, if the date of cause of action is more than one-year-old and/or the complainant has not taken up the complaint with the concerned entity prior to the said date.
a one-time ‘Review’ option is also available under SCORES wherein a complainant, if not satisfied with the extent of redressal of grievance... opts for review of the extent of the redressal, within 15 days from the date of closure of the complaint on SCORES.
The following types of complaints shall not be dealt through SCORES: i. Complaints against companies which are unlisted/delisted... ii. Complaints relating to cases pending in a court... iii. Complaints falling under the purview of other regulatory bodies such as Reserve Bank of India... iv. Complaints against a company under resolution under the relevant provisions of the Insolvency and Bankruptcy Code, 2016 (IBC)... v. Complaints against the companies where the name of company is struck off from Register of Companies... vi. Liquidated Companies or companies under liquidation.
The procedure for generation of SCORES user id and password is fully automated for all new SEBI registered intermediaries and MIIs who got registered/ recognised with / by SEBI after August 02, 2019.
Stock Brokers and Depository Participants are not required to obtain SCORES authentication since complaints against these intermediaries shall continue to be routed through the platforms of the concerned Stock Exchange/Depository.
An online mechanism for obtaining SCORES credentials for all “companies intending to list their securities on SEBI recognized stock exchanges” was introduced on October 14, 2021.
Companies shall attach a declaration, with the online form, on the letter head of the company signed by the Compliance Officer... i. Companies intending to list on Main Board: A Declaration that the DRHP has been submitted with SEBI. ii. Companies intending to list on SME/Debt Platform... A Declaration that an application to list its securities has been submitted...
In case the complaints are processed by the RTI/STA on behalf of the listed company, any failure on the part of the RTI/STA to redress the complaints or failure to update Action Taken Report (ATR) in SCORES, will be treated as failure of the listed company to furnish information to SEBI and non redressal of investor complaints by the listed company.
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Source: SecMarx — Master Circular on the redressal of investor grievances through the SEBI Complaints Redress System (SCORES) platform. Verbatim text is public record; SecMarx structuring (linkage to applying orders) is cited to us.