9911796707
TMI Blog2023 (9) TMI 1103X X X X Extracts X X X X X X X X Extracts X X X X ..... promote development of the securities market. In any case, such power is also derived under Regulation 35 of the Intermediaries Regulations. In our opinion the direction to refund the amount is squarely covered under Regulation 35. The contention that Regulation 35 is only with regard to collection of money under any scheme is patently erroneous. The word scheme is wide enough to include a device which the appellant have carried out in the form of giving advisory services without obtaining registration. In view of the aforesaid, the contention raised by the appellant does not survive. As contended that the appellant at best can only be entitled to refund the amount till the date when the appellant was a partner in the firm but after t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... penalty of Rs. 6 lakh. 2. The facts leading to the filing of the present appeal is, that several complaints were received by SEBI regarding the appellant and other noticees for offering investment advisory services with guaranteed assured returns causing monetary loss to the complainants. 3. Based on these complaints SEBI conducted an examination and thereafter issued a show cause notice dated February 1, 2021. After considering the replies and material evidence on record, the WTM found that the appellant along with noticee no. 3 was carrying on investment advisory activities under the name of M/s. Investment India Financial Services without obtaining a certificate of registration under Section 12(1) of the SEBI Act, 1992 read with Re ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... its Company and therefore direction to refund the amount was wholly illegal. It was contended that Regulation 35 of the SEBI (Intermediaries) Regulations, 2008 ( Intermediaries Regulations for short) requires refunding any money collected from the securities under any scheme or otherwise . It was contended that in the instant case the money so collected was towards services rendered and was not under any scheme or otherwise and therefore Regulation 35 is not applicable. The submission of the learned counsel for the appellant is patently erroneous. 6. We find that in the instant case the direction to refund the amount has been issued under Section 11 of the SEBI Act we are of the opinion that SEBI has a power to direct refund of amoun ..... X X X X Extracts X X X X X X X X Extracts X X X X
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