Section 12 in Securities and Exchange Board of India (Investment Advisers) Regulations, 2013
12. Procedure where registration is refused.
(1)After considering an application made under regulation 3, if the Board is of the opinion that a certificate should not be granted to the applicant, it may reject the application after giving the applicant a reasonable opportunity of being heard.(2)The decision of the Board to reject the application shall be communicated to the applicant within thirty days of such decision.(3)Where an application for a certificate is rejected by the Board, the applicant shall forthwith cease to act as an investment adviser:Provided that nothing contained in this regulation shall affect the liability of the applicant towards its existing clients under law.
