Clamping down on wrong-doers, capital market regulator SEBI has imposed a fine of close to Rs. 50 lakh on 34 companies in the first half of the current fiscal for allegedly failing to resolve investor complaints.
The regulator imposed the monetary penalty of Rs. 49.50 lakh in April-September of 2015-16 through adjudication proceedings, which ranged from Rs. 25,000 to Rs. 15 lakh.
The companies are facing the heat for their alleged failure in resolving investors’ grievances and securing registration from SEBI’s online complaint redressal system called SCORES.
SEBI had fined 40 firms about Rs. 66 lakh on the same count a year ago.
During the period under review, Thapar Exports and Thapar Ispat were fined the most — Rs 15 lakh each.
Apart from the penalty, more than 20 companies and their respective directors have been barred from accessing the securities market.
In August 2012, SEBI had asked all listed companies to register themselves with its online complaint redressal mechanism by September 14 and they will be required to resolve all grievances within 30 days of getting their SCORES receipt.
In case a company doesn’t take any redressal step in first seven days, the regulator has the power to take necessary enforcement action. SEBI introduced the online mechanism in June 2011.
