Supreme Court Hears Mahua Moitra’s Plea for SEBI to Disclose Ultimate Beneficial Owners and FPI Portfolios
SC Considers TMC MP Mahua Moitra’s Petition for Transparency in SEBI Records
The Supreme Court on Friday heard a fresh petition by TMC MP Mahua Moitra seeking directions to SEBI to mandate full public disclosure of Ultimate Beneficial Owners (UBOs), last natural persons, and portfolios of Alternative Investment Funds (AIFs), Foreign Portfolio Investors (FPIs), and their intermediaries in India.
The Bench of Justice BV Nagarathna and Justice R. Mahadevan, noted that in April, the Court had disposed of Moitra’s previous petition with a similar prayer, directing her to first approach SEBI with her grievances.
During the hearing, Advocate Prashant Bhushan for Moitra submitted that a representation had already been made to SEBI, and the regulator had responded only after the filing of the current petition.
Justice Nagarathna observed, “So we will dispose of this petition with legal remedies open.”
Bhushan stated that he would treat SEBI’s response as a reply to the present petition and file a short affidavit to proceed.
SEBI’s counsel argued that the petition could not continue without amendments, stating that a detailed reply had already been provided to all queries. Bhushan countered that no amendments were needed as his prayer remained the same.
The Bench adjourned the matter, granting time for Moitra to file the affidavit, keeping legal remedies open for future consideration.
Notably, in April, the Court had directed Moitra to make a formal representation to the Securities and Exchange Board of India (SEBI) regarding her petition on enhancing transparency and investor awareness in India’s financial markets.The Bench while disposing of her plea, clarified that once Moitra submits her representation, SEBI shall consider it in accordance with law.
The MP had emphasized that Mutual Funds are bound by strict disclosure regulations under the SEBI Mutual Fund Regulations, 1996, and SEBI Collective Investment Scheme Regulations, 1999. By contrast, AIFs and FPIs operate under opaque structures with minimal public accountability.
With foreign investment into India increasing, Moitra warned that absent transparency on UBOs, the market remains vulnerable to practices such as round-tripping, front-running, circular trading, greenwashing, tax evasion, and manipulation.
Case Title: Mahua Moitra v. Union of India
Hearing Date: September 26, 2025
Bench: Justice NV Nagarathna and Justice R. Mahadevan