NEPTUNE OVERSEAS LIMITED THRO KAILASH RAM KISHAN GUPTA Vs. FORWARD MARKETS COMMISSION MINISTRY OF CONSUMER AFFAIRS

JUDGEMENT

(1.) WE have heard learned Senior Counsel Mr. Mihir Thakore and learned Senior Counsel Mr. Saurabh Soparkar assisted by learned Advocate Mr. Bijal Chhatrapati for Singhi & Co. for appellant No.1; learned Senior Counsel Mr. Kamal Trivedi assisted by learned Advocate Mr. Bijal Chhatrapati for Singhi & Co. for appellant No.2, learned Advocate Mr. Navin K.Pahwa for respondents No.6 and 7 and Mr. P.S. Champaneri, learned Assistant Solicitor General for respondents No. 1, 2 and 4 to 6.

(2.) THE challenge in the present appeal at the initial stage was a show cause notice dated 21.6.2011 was issued by respondent No. 1 ? Forward Markets Commission, Ministry of Consumer Affairs, GOI, to appellant No.2, calling upon him to show cause as to why action should not be taken against him for the following charges: (a) You, Shri Kailash Ramkishan Gupta, the then MD/EVC and present VC of NMCE, are, therefore, directed to show cause in writing within a period of 10 days from the date of receipt of this Notice as to why action should not be taken/ initiated against you as the then Managing Director/Executive Vice Chairman of NMCE as well as in your personal capacity and in the capacity as the shareholder of the NMCE as stipulated in or under the aforesaid statutes for serious and illegal/fradulent acts of omission and commission detailed in this notice and listed more specifically in the para 11 of this notice. (b) You are also hereby required to show cause as to why the aforesaid acts of omission and commission detailed in this notice and listed more specifically in para 11 of the notice should not be referred to other concerned departments and authorities as may be relevant for appropriate action under the relevant Acts.?

(3.) IN view of the said order, the Authority continued the hearing of the show cause notice and passed the order dated 23rd July, 2011 against the present appellant No.1 and appellant No.2.