RAMEL INDUSTRIES LTD. Vs. STATE OF WEST BENGAL

JUDGEMENT

(1.) THE Securities and Exchange Board of India has applied for review of an order dated June 19, 2013 by which WP No. 16460(W) of 2013 was disposed of in presence of counsel for SEBI. It is submitted by the SEBI that it could not be appropriately represented to court on behalf of SEBI at the relevant point of time that the writ petitioners had not made any application to SEBI for obtaining any permission for mobilisation of funds from the public. SEBI says that upon notices being issued by SEBI to the petitioner company requiring such company to explain how it could start any cumulative investment scheme without obtaining prior permission from SEBI in such regard, the company had even questioned the authority of SEBI to seek such explanation.

(2.) SINCE it is now evident that the writ petitioners seek to obtain permission from SEBI for the purpose of mobilisation of funds from the public and since the writ petitioners undertake not to use or utilise the money already obtained without the permission being issued by SEBI, the order dated June 19, 2013 may be appropriately modified.

(3.) UPON the petitioners' written application being made within a fortnight from date, SEBI should dispose of the application within four weeks of the petitioners satisfactorily responding to any queries that may be raised by SEBI in respect of the application. It will be open to SEBI to give the petitioner company an opportunity of hearing before disposing of the application by a reasoned order. The. order dated June 19, 2013 is modified accordingly and RVW No. 117 of 2013 and CAN 6642 of 2013 are disposed of without any order as to costs.