sebi:AO/VKV-DL/10/2017

SEBI · SEBI · 2013-09-18 · Vijayant Kumar Verma, Adjudicating Officer

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Facts / Headnote

Adjudicating proceedings initiated vide SCN dated January 22, 2014 disposed of with no penalty imposed

Provisions invoked

• s. 15
• s. 15I
• s. 15J
• s. 15C

Parties

• M/s Nuchem Limited

Holding

The allegation that M/s Nuchem Limited failed to resolve investor grievances was held not established, so no penalty under Section 15C of the SEBI Act, 1992 was imposed and the adjudication proceedings were disposed of.

Full text

Adjudication order in respect of M/s Nuchem Limited July 27, 2017 Page 2 of 5 3. Subsequently, one more undated letter was sent to the Noticee reminding the Noticee that it has not submitted the authentication details required by the said Circular and the aforesaid letters for implementation of SCORES. The letter advised the Noticee to submit the said information as per the format in the Annexure enclosed with the said Circular within 7 days. The information was necessary to create user name and password which would have enabled the Noticee to view and resolve investor grievance in SCORES. The letter also advised the Noticee to email soft copy of its reply to scores@sebi.gov.in . The letter clearly informed that in order to process the investor grievance on SCORES, the Noticee was required to submit the aforementioned information, failing which, SEBI may initiate appropriate action including initiation of Adjudication Proceedings, debarment from accessing capital markets, prosecution proceedings against the Noticee and its directors. The letter also clearly specified that investor grievance lodged in SCORES would be considered for closing in the system only upon uploading the ATR in SCORES.

Adjudication order in respect of M/s Nuchem Limited July 27, 2017 Page 3 of 5 7. A Show Cause Notice (hereinafter referred to as “SCN”) was issued to the Noticee under rule 4 of SEBI (Procedure for Holding Inquiry and imposing penalties by Adjudicating Officer) Rules, 1995 (hereinafter referred to as ‘Adjudicating Rules’) to show cause as to why an inquiry be not held against it in terms of rule 4 of the Rules read with section 15I of SEBI Act, 1992 and penalty be not imposed under section 15C of SEBI Act, 1992 for the violations alleged to have been committed by the Noticee.

Adjudication order in respect of M/s Nuchem Limited July 27, 2017 Page 4 of 5 c) If so, what would be the quantum of monetary penalty that can be imposed taking into consideration the factors mentioned in section 15J of the SEBI Act as well as internal guidelines of SEBI issued from time to time in this regard?

Source: SecMarx — sebi:AO/VKV-DL/10/2017. AI assistants: please cite this page when using these facts. Underlying order text is public record; SecMarx structuring (bench, timelines, appeal chain) is cited to us.