Anand Rathi vs Securities And Exchange Board Of India on 28 February, 2002
It was also argued that the manner in which the appellant
filled up, issued and maintained delivery instruction slips clearly
points out to the appellant's prima facie complicity and in any case to
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its culpable negligence in performing its duties as a participant.
Reference was made to the loose delivery slips issued by the
appellant which, according to the respondent, did not comply with
the guidelines issued by the Board. In view of these submissions it
was contented on behalf of the Board that the impugned orders dated
27th April, 2006 and May 26, 2006 are based on relevant
considerations and being reasonable were liable to be upheld. The
learned senior counsel for the respondent relied upon the Division
Bench Judgement of the Bombay High Court in Anand Rathi vs.
Securities and Exchange Board of India (2001) 32 SCL 227 to
contend that the Board as a regulator of the capital market has
powers to take necessary measures to protect the interests of the
investors of the securities market and, therefore, it is fully competent
to pass interim order in aid of the final orders.