Partial Relief for Avadhut Sathe Trading Academy Amid Sebi Disputes

The Securities Appellate Tribunal granted partial relief to Avadhut Sathe Trading Academy, allowing it to withdraw Rs 2.25 crore for expenses. This follows a Sebi order demanding Rs 546 crore in disgorged gains for unregistered services. A full hearing is set for January 9, 2024.

On Friday, the Securities Appellate Tribunal (SAT) granted a measure of relief to Avadhut Sathe Trading Academy, allowing the entity to access Rs 2.25 crore for routine monthly expenses amidst ongoing legal proceedings.

The relief comes in the wake of a recent order from the Securities and Exchange Board of India (Sebi), which had barred the academy from the securities market and ordered the disgorgement of Rs 546 crore in alleged illegal profits from unregistered advisory services. Despite ASTA's request for a larger withdrawal of Rs 5.25 crore, the tribunal highlighted that a significant portion of the claimed amount was for non-essential activities like advertisements and seminars.

Justice P S Dinesh Kumar directed Sebi to file a response within six weeks but did not grant a stay on Sebi's order. The tribunal is set to continue its deliberations on January 9, after the Christmas break. Avadhut Sathe Trading Academy remains optimistic about overturning the ruling, expressing confidence in the judiciary's fairness and a commitment to their educational mission.

(With inputs from agencies.)