Rule 5 - Order of the the Board or the adjudicating officer - Securities Contracts (Regulation) (Procedure For Holding Inquiry And Imposing Penalties) Rules, 2005

Order of the 1 [the Board or the adjudicating officer] 5. (1) If, upon consideration of the evidence produced before the 1 [ the Board or the adjudicating officer ] , the 1 [ the Board or the adjudicating officer ] is satisfied that the person has become liable to penalty under any of the sections specified in sub-section (1) of 2 [ sub-section (2) of section 12A or section 23-I ] of the Act , he may, by order in writing, impose such penalty as he thinks fit in accordance with the provisions of the relevant section or sections specified in 2 [ sub-section (2) of section 12A or section 23-I ] of the Act . (2) While adjudging the quantum of penalty under 2 [ sub-section (2) of section 12A or section 23-I ] of the Act , the 1 [ the Board or the adjudicating officer ] shall have due regard to the following factors, namely :- (a) the amount of disproportionate gain or unfair advantage, wherever quantifiable, made as a result of the default; (b) the amount of loss caused to an investor or group of investors as a result of the default; (c) the repetitive nature of the default. (3) Every order made under sub-rule (1) shall specify the provisions of the Act in respect of which default has taken place and shall contain brief reasons for such decisions. (4) Every such order shall be dated and signed by the 1 [ the Board or the adjudicating officer ​​​​​​​] . 3 [ (5) The Board or the adjudicating officer who has passed an order, may rectify any error apparent on the face of record on such order, either on its own motion or where such error is brought to his notice by the affected person within a period of fifteen days from the date of such order. Explanation: For the purpose of this rule, error apparent on the face of record shall mean any typographical errors that creep in inadvertently into the order and includes such other errors that do not require a long drawn out reasoning process to ascertain such a mistake. ] *************** NOTES:- 1. Substituted vide Notification No. G.S.R. 212(E) dated 08-03-2019 w.e.f. 08-03-2019 before it was read as, adjudicating officer 2. Substituted vide Notification No. G.S.R. 212(E) dated 08-03-2019 w.e.f. 08-03-2019 before it was read as, section 23-I 3. Inserted vide Notification No. G.S.R. 212(E) dated 08-03-2019 w.e.f. 08-03-2019