The Supreme Court on Friday asked markets regulator Securities Exchange Board of India not to take any coercive action against Prannoy Roy and Radhika Roy, promoters of news channel NDTV, till September 3, PTI reported.
The court was hearing a plea filed by the Roys against penalty proceedings initiated against them by the Securities Exchange Board of India for alleged violation of securities norms by concealing information from shareholders on certain loan agreements.
The markets regulator had asked a bench headed by Chief Justice NV Ramana to adjourn hearing on the plea till September 3. The court agreed, but asked the Securities and Exchange Board of India not to take any coercive action till then.
In March, the Supreme Court had put a stay on the recovery of Rs 27 crore imposed as penalty on the NDTV promoters.
The decision came after the Roys had filed an appeal against the penalty at the Securities Appellate Tribunal, which decides upon pleas against actions taken by the Securities and Exchange Board of India. In January, the tribunal asked them to deposit 50% of the amount to the markets regulator within four weeks.
Later that month, the NDTV promoters moved the Supreme Court against the tribunal order and sought to offer shares of their channel to pay up the amount. On February 15, the Supreme Court exempted the promoters from making the deposit. Then in March, the court put a stay on recovery of the penalty.
During Friday’s hearing, the Supreme Court asked Solicitor General Tushar Mehta about the status of the appeal filed by the Roys at the Securities Appellate Tribunal. To this, Mehta replied that the appeal was stuck as one of the members of the tribunal was not available for hearing.
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