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Securities Appellate Tribunal

Dlf Home Developers Limited vs Sebi on 25 April, 2018

Author: J.P. Devadhar

Bench: J.P. Devadhar

     BEFORE THE       SECURITIES APPELLATE TRIBUNAL
                             MUMBAI
                                          Date of Decision : 25.04.2018

                                    Misc. Application No. 187 of 2016
                                    And
                                    Appeal No. 193 of 2015

DLF Limited
DLF Centre,
Sansad Marg,
New Delhi - 110001.                                     ...Appellant

Versus
[[




Securities and Exchange Board of India,
SEBI Bhavan, Plot No. C-4A, G-Block,
Bandra-Kurla Complex, Bandra (East),
Mumbai - 400 051.                                       ...Respondent


Mr. Janak Dwarkadas, Senior Advocate with Mr. Dhruv Dewan and
Mr. Kostubh Devnani, Advocates for the Appellant.

Mr. Rafique Dada, Senior Advocate with Mr. Pulkit Sukhramani, Ms. Vidhi
Jhawar and Mr. Nikhil Ratti Kapoor, Advocates i/b The Law Point for the
Respondent.

Mr. Bhupesh Dhumatkar, Advocate i/b RM for Intervener Mr. Kinshuk
Sinha in Misc. Application No. 187 of 2016.

                                    WITH
                                    Appeal No. 194 of 2015

Mr. K.P. Singh
DLF Limited
DLF Centre, Sansad Marg,
New Delhi - 110001.                                     ...Appellant

Versus
[[




Securities and Exchange Board of India,
SEBI Bhavan, Plot No. C-4A, G-Block,
Bandra-Kurla Complex, Bandra (East),
Mumbai - 400 051.                                       ...Respondent


Mr. Dhruv Dewan, Advocate with Mr. Kostubh Devnani, Advocate for the
Appellant.

Mr. Rafique Dada, Senior Advocate with Mr. Pulkit Sukhramani, Ms. Vidhi
Jhawar and Mr. Nikhil Ratti Kapoor, Advocates i/b The Law Point for the
Respondent.
                                     2




                                    WITH
                                    Appeal No. 195 of 2015

Mr. T.C. Goyal
DLF Limited
DLF Centre, Sansad Marg,
New Delhi - 110001.                                     ...Appellant

Versus
[[




Securities and Exchange Board of India,
SEBI Bhavan, Plot No. C-4A, G-Block,
Bandra-Kurla Complex, Bandra (East),
Mumbai - 400 051.                                       ...Respondent


Mr. Dhruv Dewan, Advocate with Mr. Kostubh Devnani, Advocate for the
Appellant.

Mr. Rafique Dada, Senior Advocate with Mr. Pulkit Sukhramani, Ms. Vidhi
Jhawar and Mr. Nikhil Ratti Kapoor, Advocates i/b The Law Point for the
Respondent.


                                    WITH
                                    Appeal No. 196 of 2015

Ms. Pia Singh
DLF Limited
DLF Centre, Sansad Marg,
New Delhi - 110001.                                     ...Appellant

Versus
[[




Securities and Exchange Board of India,
SEBI Bhavan, Plot No. C-4A, G-Block,
Bandra-Kurla Complex, Bandra (East),
Mumbai - 400 051.                                       ...Respondent


Mr. Dhruv Dewan, Advocate with Mr. Kostubh Devnani, Advocate for the
Appellant.

Mr. Rafique Dada, Senior Advocate with Mr. Pulkit Sukhramani, Ms. Vidhi
Jhawar and Mr. Nikhil Ratti Kapoor, Advocates i/b The Law Point for the
Respondent.
                                     3




                                    WITH
                                    Appeal No. 197 of 2015

Mr. Rajiv Singh
DLF Limited
DLF Centre, Sansad Marg,
New Delhi - 110001.                                     ...Appellant

Versus
[[




Securities and Exchange Board of India,
SEBI Bhavan, Plot No. C-4A, G-Block,
Bandra-Kurla Complex, Bandra (East),
Mumbai - 400 051.                                       ...Respondent


Mr. Dhruv Dewan, Advocate with Mr. Kostubh Devnani, Advocate for the
Appellant.

Mr. Rafique Dada, Senior Advocate with Mr. Pulkit Sukhramani, Ms. Vidhi
Jhawar and Mr. Nikhil Ratti Kapoor, Advocates i/b The Law Point for the
Respondent.

                                    WITH
                                    Appeal No. 198 of 2015

Mr. Ramesh Sanka
1611B, Magnolia DLF Phase V
Gurgaon.                                                ...Appellant

Versus
[[




Securities and Exchange Board of India,
SEBI Bhavan, Plot No. C-4A, G-Block,
Bandra-Kurla Complex, Bandra (East),
Mumbai - 400 051.                                       ...Respondent


Mr. Gaurav Joshi, Senior Advocate with Mr. Dhruv Dewan and
Mr. Kostubh Devnani, Advocates for the Appellant.

Mr. Rafique Dada, Senior Advocate with Mr. Pulkit Sukhramani, Ms. Vidhi
Jhawar and Mr. Nikhil Ratti Kapoor, Advocates i/b The Law Point for the
Respondent.

                                    WITH
                                    Appeal No. 199 of 2015

1.

DLF Home Developers Limited DLF Centre, Sansad Marg, New Delhi - 110001.

4

2. DLF Estate Developers Limtied DLF Centre, Sansad Marg, New Delhi - 110001.

3. DLF Universal Limited Shopping Mall, 3rd Floor, Arjun Marg, DLF City, Phase-I, Gurgaon - 122002, Haryana.

4. Mr. A.D. Rebello 504B, The Aralias, DLF Golf Links, DLF Golf Course Road, Gurgaon, Haryana.

5. Mr. A.K. Gupta TH1, Oakwood Estate, DLF City Phase-II, Gurgaon, Haryana.

6. Mr. Rajiv Malhotra Rajiv Malhotra Engineering Consultants Pvt. Ltd., DSP:212-214, DLF South Point Mall, Golf Course Road, DLF City Phase-V, Gurgaon, Haryana.

7. Mr. K.K. Bhattacharya 111B, Hamilton Court, DLF Phase-IV, Gurgaon, Haryana.

8. Mr. Deepak Bannerjee DLF Universal Limited Shopping Mall, 3rd Floor, Arjun Marg, DLF City, Phase-I, Gurgaon - 122002, Haryana.

9. Mr. Ravi Kachru DLF Universal Limited Shopping Mall, 3rd Floor, Arjun Marg, DLF City, Phase-I, ...Appellants Gurgaon - 122002, Haryana.

Versus [[ Securities and Exchange Board of India, SEBI Bhavan, Plot No. C-4A, G-Block, Bandra-Kurla Complex, Bandra (East), Mumbai - 400 051. ...Respondent Mr. Gaurav Joshi, Senior Advocate with Mr. Dhruv Dewan and Mr. Kostubh Devnani, Advocates for the Appellant.

Mr. Rafique Dada, Senior Advocate with Mr. Pulkit Sukhramani, Ms. Vidhi Jhawar and Mr. Nikhil Ratti Kapoor, Advocates i/b The Law Point for the Respondent.

5

WITH Appeal No. 206 of 2015

1. Smt. Padmaja Sanka Y-211, Regency Park-II, DLF City, Phase IV, Gurgaon - 122002, Haryana.

2. Smt. Madhulika Basak, 210-A, Hamilton Court, DLF City, Phase IV, Guraon - 122002, Haryana.

3. Smt. Niti Saxena M-132, Sector 25, Noida, UP. ...Appellants Versus [[ Securities and Exchange Board of India, SEBI Bhavan, Plot No. C-4A, G-Block, Bandra-Kurla Complex, Bandra (East), Mumbai - 400 051. ...Respondent Mr. P.N. Modi, Senior Advocate i/b Luthra & Luthra for the Appellant.

Mr. Rafique Dada, Senior Advocate with Mr. Pulkit Sukhramani, Ms. Vidhi Jhawar and Mr. Nikhil Ratti Kapoor, Advocates i/b The Law Point for the Respondent.

WITH Appeal No. 208 of 2015

1. Sudipti Estates Pvt. Ltd. 15, Shivaji Marg, New Delhi - 110015.

2. Purander Estates Developers Pvt. Ltd. (since Shalika Estate Developers Pvt. Ltd. stands amalgamated with Purander Estates Developers Pvt. Ltd.) 15, Shivaji Marg, New Delhi - 110015.

3. Felicite Builders and Construction Pvt. Ltd. 1st Floor, 1-E, Jhandewalan Extension, Naaz Cinema Complex, New Delhi - 110055. ...Appellants Versus [[ Securities and Exchange Board of India, SEBI Bhavan, Plot No. C-4A, G-Block, 6 Bandra-Kurla Complex, Bandra (East), Mumbai - 400 051. ...Respondent Mr. Tarun Dua, Advocate with Mr. Anant Garg, Advocate for the Appellant.

Mr. Rafique Dada, Senior Advocate with Mr. Pulkit Sukhramani, Ms. Vidhi Jhawar and Mr. Nikhil Ratti Kapoor, Advocates i/b The Law Point for the Respondent.

WITH Appeal No. 209 of 2015

1. Shri Rajendra Gupta D-15/17 (GF), Sector 7, Rohini, New Delhi - 110085.

...Appellant

2. Shri Rajendra Kumar Raheja Heritage City M.G. Road, H.No. 608, Block-40, Gurgaon

3. Shri Prem Kumar Vadhera (Through power of attorney holders Mr. Rajesh Kumar Bhatia and Mr. Prakash Painuli) House No. J-89, Lovers Road, Near CSD Chowk, Trimul Harry, Securandabad.

4. Shri Joy Saxena M-132, Sector 25, Noida, U.P.

5. Shri Vipen Jindel 7-157, D-7, Vasant Kunj, New Delhi - 110070.

6. Shri Arun Kumar Bhagat H-41, Park Place, DLF Phase - 5, Gurgaon - 122011.

7. Shri Neeraj Gulati, E-120, Greater Kailash-II, New Delhi - 110048.

8. Shri Surojit Basak 210-A Hamilton Court, DLF City Phase-IV, Gurgaon-122002, Haryana.

9. Shri S.K. Gupta A-1/3, Rajasthali Apartments Madhuban Chawk, Pitampura, New Delhi - 110034.

7

10. Shri Manik Khanna GH-4-310, Paschim Vihar, Outer Ring Road, New Delhi - 110063.

11. Shri V.S. Khanna 22, Raj Nagar, Pitampura, 1st Floor, Delhi - 110034.

12. Shri Harshdeep Sachdeva 85, Ground Floor, Ramprastha Colony, Opposite Vivek Vihar, Ghaziabad UP 201011.

13. Shri Debashish Mukherjee D-603, IRWO Classic Apartments, Rail Vihar, Sector - 57, Gurgaon 122003.

14. Shri Joydeep Dasgupta 224 FF, Indraprastha Colony, Sector-30-33, Faridabad-121001, Haryana.

15. Shri Vijay Kumar Gupta 1103, New Jai Bharat, Plot 5, Sector 4, Dwarka, New Delhi - 110075.

16. Shri Manish Gautam House No. 1386/5, Patel Nagar, Gurgaon - 122002, Haryana.

17. Shri Lovekush Sharma 7157, D-7, Vasant Kunj, New Delhi - 110070.

Versus [[ Securities and Exchange Board of India, SEBI Bhavan, Plot No. C-4A, G-Block, Bandra-Kurla Complex, Bandra (East), Mumbai - 400 051. ...Respondent Mr. Tarun Dua, Advocate with Mr. Anant Garg, Advocate for the Appellant.

Mr. Rafique Dada, Senior Advocate with Mr. Pulkit Sukhramani, Ms. Vidhi Jhawar and Mr. Nikhil Ratti Kapoor, Advocates i/b The Law Point for the Respondent.

8

WITH Appeal No. 217 of 2015 G.S. Talwar 2/F, Berkeley Square House, Berkeley Square, Mayfair, London W1J 6BD ...Appellant Versus [[ Securities and Exchange Board of India, SEBI Bhavan, Plot No. C-4A, G-Block, Bandra-Kurla Complex, Bandra (East), Mumbai - 400 051. ...Respondent Mr. Somasekhar Sundaresan, Advocate with Mr. Paras Parekh and Mr. Akash Joshi, Advocates i/b J. Sagar Associates for the Appellant.

Mr. Rafique Dada, Senior Advocate with Mr. Pulkit Sukhramani, Ms. Vidhi Jhawar and Mr. Nikhil Ratti Kapoor, Advocates i/b The Law Point for the Respondent.

WITH Appeal No. 225 of 2015 Mr. Praveen Kumar 1008, A&B, The Aralias, DLF Golf Links, DLF Phase 5, Gurgaon, Haryana 122 009. ...Appellant Versus [[ Securities and Exchange Board of India, SEBI Bhavan, Plot No. C-4A, G-Block, Bandra-Kurla Complex, Bandra (East), Mumbai - 400 051. ...Respondent Ms. A.A. Mujawar, Advocate i/b Mr. Amit Vyas for the Appellant.

Mr. Rafique Dada, Senior Advocate with Mr. Pulkit Sukhramani, Ms. Vidhi Jhawar and Mr. Nikhil Ratti Kapoor, Advocates i/b The Law Point for the Respondent.

WITH Appeal No. 226 of 2015 Kameshwar Swarup S-08B, Windsor Court, DLF City, Phase-IV, Gurgaon - 122009 (Haryana) ...Appellant 9 Versus [[ Securities and Exchange Board of India, SEBI Bhavan, Plot No. C-4A, G-Block, Bandra-Kurla Complex, Bandra (East), Mumbai - 400 051. ...Respondent Mr. Somasekhar Sundaresan, Advocate with Mr. Paras Parekh and Mr. Akash Joshi, Advocates i/b J. Sagar Associates for the Appellant.

Mr. Rafique Dada, Senior Advocate with Mr. Pulkit Sukhramani, Ms. Vidhi Jhawar and Mr. Nikhil Ratti Kapoor, Advocates i/b The Law Point for the Respondent.

CORAM : Justice J.P. Devadhar, Presiding Officer Dr. C.K.G. Nair, Member Per : Justice J.P. Devadhar (Oral)

1. Appellants in all these appeals are aggrieved by the respective orders passed by the Adjudicating Officer ('AO' for short) of Securities and Exchange Board of India ('SEBI' for short) whereby varying penalties have been imposed on the respective appellant for violating the SEBI Act and the regulations framed thereunder.

2. On the same set of facts the Whole Time Member ('WTM' for short) of SEBI by an order dated October 10, 2014 had issued directions against the appellants on ground that the appellants have violated SEBI Act and the regulations framed thereunder.

3. On the appellants filing appeals, this Tribunal by a majority decision dated March 13, 2015 set aside the order passed by the WTM of SEBI by holding that the appellants have not violated SEBI Act and the regulations framed thereunder.

10

4. In view of the above majority view of this Tribunal, decision of the AO that the appellants have violated SEBI Act and the regulations framed thereunder cannot be sustained. However, it is not in dispute that the Civil Appeals filed by SEBI against the majority decision of this Tribunal dated March 13, 2015 are still pending before the Apex Court.

5. In these circumstances, without going into the merits of the case, we dispose of these appeals as also the Intervention Application with a direction that these appeals as also the Intervention Application shall stand automatically revived once the Apex Court disposes of the Civil Appeals filed by SEBI against the decision of this Tribunal dated March 13, 2015.

6. All appeals as also the Intervention Application are disposed of in the above terms with no order as to costs.

Sd/-

Justice J.P. Devadhar Presiding Officer Sd/-

Dr. C.K.G. Nair Member 25.04.2018 Prepared and compared by: msb