sebi:ORDER/VG/RG/2021-22/14984
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Facts / Headnote
Noticee held liable and penalty of Rs. 1,00,000 imposed, payable within 45 days of receipt of order
Provisions invoked
- s. 15
- s. 15J
- s. 15C
Regulations
- Reg. 21(1)
Parties
- Ms. Shilpa Garg, Proprietor - M/s. Highlight Investment Research, Investment Adviser
Holding
The Noticee violated SEBI Circular CIR/OIAE/2014 dated December 18, 2014 read with regulation 21(1) of the IA Regulations by failing to redress two investor grievances within the time specified by SEBI and is liable to monetary penalty under Section 15C of the SEBI Act, with penalty of Rs. 1,00,000 imposed.
Full text
Page 2 of 10 APPOINTMENT OF ADJUDICATING OFFICER 2. SEBI appointed the undersigned as the Adjudicating Officer (hereinafter referred to as the AO) vide order dated July 22, 2021 to inquire into and adjudge the aforesaid alleged violations against the Noticee under section 15C of the SEBI Act. The appointment of the AO was communicated vide order dated July 26, 2021.
Page 3 of 10 5. It was observed that the grievance of Shri. Ashok Kumar Patra was forwarded to the Noticee by SEBI on August 20, 2020 to resolve it. Further, reminders were also sent to the Noticee on September 14, 2020, October 16, 2020 and November 23, 2020. Similarly, the complaint of Shri Gori Shankar Jangid was forwarded to the Noticee by SEBI on November 11, 2020 to resolve it. However, the Noticee failed to redress both the grievances. The Noticee also did not submit the Action Taken Report as specified in the Circular.
Page 4 of 10 8. The submissions made by the Noticee in the said letter in brief are as under: a) The earlier complaints of Shri Ashok Kumar Patra and Shri Gori Shankar Jangid on SEBI scores portal (complaint no SEBIE/MP20/0000343/1, and SEBIE/MP19/0002132/1) have been resolved by the Noticee in the best interest of complainants. b) The complaint of Shri Gori Shanker Jangid was resolved by the Noticee and an agreement was executed on mutually agreed terms and conditions. According to the Noticee, as per the terms of the agreement, a total amount of ₹ 50,000/- refund was payable to the complainant and that out of the total amount, ₹ 25,000/- was paid to the complainant and the remaining amount is due to be paid. The lockdown restrictions imposed by the Government pursuant to COVID 19 Pandemic has impacted businesses not only in India but all over the world. Lockdown and disruption were unforeseen and beyond the control of the Noticee. The Noticee will fulfil the agreement immediately within fifteen days and send the report. c) The complaint of Shri Ashok Kumar Patra was resolved by the Noticee. As per the mutually agreed resolution of the complaint, extra services were offered and delivered to the complainant. However, a fresh complaint was filed by the complainant asking for the refund of advisory service charges. The Noticee has stated that if the refund of advisory service charge is treated as a resolution and redressal of grievance, the Noticee is agreeable to mark refund o
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Source: SecMarx — sebi:ORDER/VG/RG/2021-22/14984. 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.