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Securities Appellate Tribunal

Miss Aashni Dushyant Dalal And Others vs Sebi on 23 December, 2013

Author: J.P. Devadhar

Bench: J.P. Devadhar

BEFORE THE SECURITIES APPELLATE TRIBUNAL
                 MUMBAI
                                          Date of Decision: 23.12.2013

                          Appeal No. 200 of 2013

1.

Miss Aashni Dushyant Dalal 4A Chandan, 62B Pedder Road, (Dr. Gopalrao Deshmukh Marg) Mumbai- 400 026.

2. Mrs. Yuti Kunal Jhaveri 193B Heera Panna CHS, Bhulabhai Desai Road, Mumbai- 400 026.

3. Mr. Ullas Ganapati Mehta 401, Urvashi, Besant Street, Santacruz (W), Mumbai- 400 054.

4. Mrs. Smita Ajit Shah 4A Chandan, 62B Pedder Road, (Dr. Gopalrao Deshmukh Marg) Mumbai- 400 026.

5. Mrs. Gita Shishir Rokadia 4A Chandan, 62B Pedder Road, (Dr. Gopalrao Deshmukh Marg) Mumbai- 400 026.

6. Dushyant Natwarlal Dalal HUF 4A Chandan, 62B Pedder Road, (Dr. Gopalrao Deshmukh Marg) Mumbai- 400 026. ...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 2 Mr. Ravichandra Hegde, Advocate for Appellants. Mr. Shiraz Rustomjee, Senior Advocate with Mr. Mihir Mody, and Mr. Pratham V. Masurekar, Advocates for the Respondent. CORAM : Justice J.P. Devadhar, Presiding Officer Jog Singh, Member A.S. Lamba, Member Per : Justice J.P. Devadhar (Oral)

1. This appeal is filed to challenge notice of attachment dated October 18, 2013 issued by the respondent whereby various bank accounts jointly held by appellants and defaulters namely, Mr. Dushyant Natwarlal Dalal and Mrs. Puloma Dushyant Dalal are attached. Counsel for appellants state that instead of attaching joint bank accounts of appellants it would be just and proper to attach demat Account No. 10770333 of the defaulter Mr. Dushyant Natwarlal Dalal with M/s Karvy Stockbroking Ltd. He submits that value of shares of various companies' held by defaulter and lying in the above demat account are more than ` 47 Crore. Since those frozen shares are still lying in demat account of defaulter, those shares may be attached by respondent for recovery of amounts due to respondent from defaulters and attachment levied on joint accounts of appellants be lifted. Counsel for appellants has tendered affidavit of defaulters to the effect that they have no objection for above proposal of appellants. Statement made by counsel for appellants is accepted and affidavit of defaulter Dushyant Dalal is taken on record.

2. Although counsel for respondent has objected to the above proposal, no valid reason is given as to how interests of respondent 3 would be prejudiced if above proposal is accepted. In the absence of any valid reason given, we see no reason to reject the proposal given by appellants.

3. Accordingly attachments levied on various joint bank accounts of appellants on October 18, 2013 are hereby vacated and shares of defaulter in his demat Account No. 10770333 shall stand attached so as to enable respondent to recover amounts due from defaulters.

4. Appeal is disposed of in above terms with no order as to costs.

Sd/-

Justice J.P. Devadhar Presiding Officer Sd/-

Jog Singh Member Sd/-

A S Lamba Member 23.12.2013 Prepared & Compared By: Pk