Wait for an additional SAT bench is 8 years old and still counting

moneycontrol.com published an article highlights the ongoing issue of the lack of additional benches at the Securities Appellate Tribunal (SAT), despite the idea being proposed eight years ago. The need for these benches is more pressing than ever as the volume of appeals continues to grow, with over 1,000 appeals currently pending.

Our Founder and Managing Partner, Sumit Agrawal, commented on the issue, stating, “The lack of additional benches has created a significant backlog of cases, as the current shortage of members makes it challenging to form the required benches under 𝐒𝐞𝐜𝐭𝐢𝐨𝐧 𝟏𝟓𝐋 𝐨𝐟 𝐭𝐡𝐞 Securities and Exchange Board of India (SEBI) 𝐀𝐜𝐭, 𝟏𝟗𝟗𝟐 . The continued delays not only stall case resolution but also weaken the integrity and attractiveness of India’s financial markets.”

Abhimanyu Bhattacharya, Partner, Khaitan & Co, emphasised that with the rapid expansion of India’s financial markets, including equity, debt, and commodities, there is an urgent need to strengthen the SAT enforcement, adjudication, and appeals framework. He noted that the Chief Justice of India’s recent comments on this matter are timely and deserve immediate action, given the anticipated significant growth in the country’s financial market capabilities.

Makarand Joshi, Founder Partner, Makarand M Joshi & Co, also highlighted the increasing number of appeals, noting that 𝟓𝟒𝟓 𝐚𝐩𝐩𝐞𝐚𝐥𝐬 𝐰𝐞𝐫𝐞 𝐟𝐢𝐥𝐞𝐝 𝐢𝐧 𝐅𝐘𝟐𝟏 𝐚𝐧𝐝 𝟏,𝟏𝟗𝟐 𝐢𝐧 𝐅𝐘𝟐𝟑. He remarked, “This proactive thought of increasing benches would help bring ease for market participants at large.”

It is crucial for policymakers to take immediate steps towards establishing additional SAT benches to ensure timely and efficient resolution of cases, thereby strengthening the confidence and stability of India’s financial markets.