Regulation 27 - Order - Securities and Exchange Board of India (Intermediaries) Regulations, 2008

1 [Order 27. (1) On receipt of the report containing the measures recommended by the designated authority, the 2 [ competent authority ] shall cause to forward a copy of the report submitted by the designated authority and call upon the noticee to make its submission, in writing, as to why the measures recommended by the designated authority or any other action as contemplated in these regulations, should not be taken. (2) The noticee shall submit, within a period as specified in the notice, but not exceeding twenty-one days from the date of service thereof, a written submission, along with documentary evidence, if any, in support of the written submission: Provided that upon the request of the noticee, the 2 [ competent authority ] , after recording reasons, in writing may cause to extend the time specified for submitting reply to the notice. (3) After considering the submission of the noticee, the 2 [ competent authority ] may if deemed fit, for reasons to be recorded by it in writing, remit the matter to the designated authority to enquire afresh or to further enquire and resubmit the report. (4) The 2 [ competent authority ] may grant an opportunity of personal hearing where the designated authority has recommended cancelation of certificate of registration or the 2 [ competent authority ] is of the prima facie view that it is a fit case for cancellation of certificate of registration. Explanation : It shall not be necessary for the 2 [ competent authority ] to give the noticee any opportunity of personal hearing if neither the designated authority has recommended cancelation of certificate of registration nor the 2 [ competent authority ] is of the prima facie view that it is a fit case for cancellation of certificate of registration. (5) After considering the facts and circumstances of the case, material on record and the written submission, if any, the 2 [ competent authority ] shall endeavor to pass an appropriate order within one hundred and twenty days from the date of receipt of submissions under sub-regulation (2) or the date of personal hearing, whichever is later. ] ************ NOTES:- 1. Substituted vide Notification No. SEBI/LAD-NRO/GN/2021/07 dated 21-01-2020 before it was read as, Action in case of default. 27. After considering the representations, if any, of the noticee, the facts and circumstances of the case and applicable provisions of law or directions, instructions or circulars administered by the Board the designated authority shall submit a report, where the facts so warrant, recommending, (i) suspension of certificate of registration for a specified period; (ii) cancellation of certificate of registration; (iii) prohibiting the noticee to take up any new assignment or contract or launch a new scheme for the period specified in the order; (iv) debarring a principal officer of the noticee from being employed or associated with any registered intermediary or other registered person for the period specified in the order; (v) debarring a branch or an office of the noticee from carrying out activities for the specified period; (vi) warning the noticee. 2. Substituted vide Notification No. SEBI/LAD-NRO/GN/2022/91 dated 01-08-2022 before it was read as, designated member