MAM
Sebi contemplates Supreme Court Appeal After SAT Rules in Favor of Punit Goenka
Mumbai: After the Securities and Appellate Tribunal (SAT) overturned the Sebi order that imposed a one-year ban on Punit Goenka, the CEO of Zee Entertainment Enterprises (ZEEL), prohibiting him from holding managerial and directorial positions in listed companies, reports are suggesting that the market regulator may contemplate appealing to the Supreme Court. Additionally, there are indications that the Zee board might soon convene to discuss Goenka’s status in light of the favourable SAT ruling.
Previously, the tribunal had barred Subhash Chandra, the Chairman of the Essel Group, and Goenka from assuming significant or directorial roles for a year, alleging that they had redirected funds from the listed entity for personal benefit. Following this, Goenka appealed the Sebi order to SAT, which has now quashed it.
With SAT’s decision to invalidate Sebi’s directive, industry observers believe that it could expedite the Zee-Sony merger, as the company is no longer burdened by the legal uncertainties that were previously a source of concern.
