Bombay High Court Stalls FIR Against Ex-SEBI Chief Amid Fraud Allegations

The Bombay High Court has put a four-week hold on a special court's directive for an FIR against former SEBI chairperson Madhabi Puri Buch and other officials over alleged stock market fraud in 1994. The court noted that the special court's order was made without any specific attribution of role to the accused.

The Bombay High Court has temporarily halted a special court's order instructing an FIR against former SEBI chairperson Madhabi Puri Buch and five other officials over allegations of stock market fraud and regulatory violations.

Justice Shivkumar Dige of the Bombay High Court observed that the special court's order was given mechanically and did not specify any particular involvement of the accused. The court provided four weeks for complainant Sapan Shrivastava to file an affidavit in response, delaying further action until the next hearing.

The allegations, centered on fraud during a 1994 company listing on the BSE, are disputed by the accused, with their legal teams labeling the claims as vague and without merit.