The Securities Appellate Tribunal (SAT) has set aside the Sebi order debarring Shankar Sharma’s First Global Stock Broking Pvt Ltd and Vruddhi Confinwest India Ltd from participating as a broker in the capital market.Sebi had cancelled First Global’s registration to act as broker and portfolio manager and in the case of Vruddhi, it had cancelled its sub-broker registration in September 2002. First Global had challenged Sebi’s order in SAT.The Sebi move came in the wake of investigations into the securities market scam of 2001.SAT overturned Sebi’s order on the grounds that the order was not passed in accordance with the market regulator’s own law and regulations. The Tribunal headed by Justice Kumar Rajaratnam said, “It is needless to say since the impugned (Sebi) order is set aside, the consequence will follow and no specific direction is necessary.”
