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Synopsis

The Chief Justice of India today has said greater thought may be given to the proposals of equipping the Securities Appellate Tribunal (SAT) with additional benches and improved infrastructure to manage its escalating caseload.

"The rapid growth in the number of market participants, and the increase in the volume of financial transactions, brings with it the likelihood of an increased number of disputes pertaining to regulatory non-compliance, market conduct, corporate governance, and shareholders. The appeals filed before the SAT have increased manifold. In such a scenario, the vacancies in the SAT must be filled at the earliest to allow the tribunal to work effectively and at full capacity. In fact, the SEBI Act also allows for the setting up of benches of the SAT....", the CJI has said.

Justice Chandrachud was invited today to inaugurate the New Office Premises of the Securities Appellate Tribunal at Mittal Court, Mumbai.

Calling the SAT to be a referee, ensuring that in the 'dog-eat-dog' world of finance, all stakeholders play by the rules, the Chief Justice of India added just like any good referee, the SAT has successfully kept pace with the evolving game. As our markets and businesses become more complex and new regulations flood in, the tribunal must consistently rise to the challenge.

In his address the CJI added that regulators like SEBI and appellate forums like the SAT assume immense national importance in fostering a stable and predictable investment environment.

"When investors feel assured that their investments are protected by law and that there are effective mechanisms for dispute resolution, they are more likely to invest in the country’s markets. This influx of investment can lead to better economic outcomes, such as increased capital formation, job creation, and overall economic growth...", the Chief Justice said.

Praising the SAT, he added that judgments coming from the tribunal reflect a deep understanding of not only law and the relevant regulations in a pedantic sense but also of commercial realities and the intricacies of the capital markets. Not only the bench but also the bar practicing before the SAT, has consistently portrayed a high level of expertise and professionalism, he added.

Justice DK Upadhyaya, Chief Justice of the Bombay High Court, Retd. Justice PS Dinesh Kumar, Presiding Officer of the Securities Appellate Tribunal (SAT), Mr. Dheeraj Bhatnagar and Ms. Meera Swarup, technical members of the SAT were alos present at the event.