Section 15I in The Securities and Exchange Board of India Act, 1992
Title: Power to adjudicate
1[15-I. Power to adjudicate.-- (1) For the purpose of adjudging under sections 15A, 15B, 15C, 15D, 15E, 2[15EA,15EB,] 15F, 15G, 3[15H, 15HA and 15HB] the Board 4[may] appoint any officer not below the rank of a Division Chief to be an adjudicating officer for holding an inquiry in the prescribed manner after giving any person concerned a reasonable opportunity of being heard for the purpose of imposing any penalty.
(2) While holding an inquiry the adjudicating officer shall have power to summon and enforce the attendance of any person acquainted with the facts and circumstances of the case to give evidence or to produce any document which in the opinion of the adjudicating officer, may be useful for or relevant to the subject matter of the inquiry and if, on such inquiry, he is satisfied that the person has failed to comply with the provisions of any of the sections specified in sub-section (1), he may impose such penalty as he thinks fit in accordance with the provisions of any of those sections.
5[(3) The Board may call for and examine the record of any proceedings under this section and if it considers that the order passed by the adjudicating officer is erroneous to the extent it is not in the interests of the securities market, it may, after making or causing to be made such inquiry as it deems necessary, pass an order enhancing the quantum of penalty, if the circumstances of the case so justify:
Provided that no such order shall be passed unless the person concerned has been given an opportunity of being heard in the matter:
Provided further that nothing contained in this sub-section shall be applicable after an expiry of a period of three months from the date of the order passed by the adjudicating officer or disposal of the appeal under section 15T, whichever is earlier.]]
1. Ins. by Act 9 of 1995, s. 9 (w.e.f. 25-1-1995). Br
2. Ins. by Act 13 of 2018, s. 184 (w.e.f. 8-3-2019).
3. Subs. by Act 59 of 2002, s. 18, for "and 15H" (w.e.f. 29-10-2002).
4. Subs. by Act 13 of 2018, s. 184, for "shall" (w.e.f. 8-3-2019).Ins. by Act 27 of 2014, s. 16 (w.e.f. 28-3-2014).
5. Ins. by Act 27 of 2014, s. 16 (w.e.f. 28-3-2014).
Title: Factors to be taken into account while adjudging quantum of penalty.
15J. 1[Factors to be taken into account while adjudging quantum of penalty].--While adjudging the quantum of penalty under section 2[15-I or section 11 or section 11B, the Board or the adjudicating officer] 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[Explanation.--For the removal of doubts, it is clarified that the power of 4*** to adjudge the quantum of penalty under sections 15A to 15E, clauses (b) and (c) of section 15F, 15G, 15H and 15HA shall be and shall always be deemed to have been exercised under the provisions of this section.]]
1. Subs. by Act 13 of 2018, s. 185, for marginal heading (w.e.f. 8-3-2019).
2 2. Subs. by s. 185, ibid., for section 15-I, the adjudicating officer (w.e.f. 8-3-2019).
2 3. Ins. by Act 7 of 2017, s.147 (w.e.f. 1-3-2017).
4. The words "of an adjudicating officer" omitted by Act 13 of 2018, s. 185 (w.e.f. 8-3-2018).
Title: Crediting sums realised by way of penalties to Consolidated Fund of India
1[15JA. Crediting sums realised by way of penalties to Consolidated Fund of India.--All sums realised by way of penalties under this Act shall be credited to the Consolidated Fund of India].
1. Ins. by Act 59 of 2002, s. 19 (w.e.f. 29-10-2002)
Title: Settlement of administrative and civil proceedings
1[15JB. Settlement of administrative and civil proceedings.--(1) Notwithstanding anything contained in any other law for the time being in force, any person, against whom any proceedings have been initiated or may be initiated under section 11, section 11B, section 11D, sub-section (3) of section 12 or section 15-I, may file an application in writing to the Board proposing for settlement of the proceedings initiated or to be initiated for the alleged defaults.
(2) The Board may, after taking into consideration the nature, gravity and impact of defaults, agree to the proposal for settlement, on payment of such sum by the defaulter or on such other terms as may be determined by the Board in accordance with the regulations made under this Act.
(3) The settlement proceedings under this section shall be conducted in accordance with the procedure specified in the regulations made under this Act.
(4) No appeal shall lie under section 15T against any order passed by the Board or adjudicating officer, as the case may be, under this section.
2[(5) All settlement amounts, excluding the disgorgement amount and legal costs, realised under this Act shall be credited to the Consolidated Fund of India.]]
1. Ins. by Act 27 of 2014, s. 17 (w.e.f. 20-4-2007).
2. Ins. by Act 13 of 2018, s. 186 (w.e.f. 8-3-2019).
Title: Establishment of Securities Appellate Tribunals
1[15K. Establishment of Securities Appellate Tribunal.--(1) The Central Government shall, by notification, establish a Tribunal to be known as the Securities Appellate Tribunal to exercise the jurisdiction, powers and authority conferred on it by or under this Act or any other law for the time being in force.
(2) The Central Government shall also specify in the notification referred to in sub-section (1), the matters and places in relation to which the Securities Appellate Tribunal may exercise jurisdiction.]
1. Subs. by s. 148, ibid., for section 15K (w.e.f. 1-3-2017).