SAT asks Sebi to re-examine investor's complaint against Osian's Art Fund

SAT set aside the letter written by Sebi which denied investigation into the complaint on the ground that such matters did not come under its purview.

"We set aside the communication dated January 31, 2011 and direct the Board (Sebi) to re-examine the matter after hearing both the parties (complainant & Sebi) and in the light of the extant instructions on the subject," SAT said in its order dated November 29, 2012.

It further asked Sebi to pass its "order and take a final view in the matter within a period of two months".

SAT order came over the appeal filed by A K Muthuswamy, who had sought Sebi's intervention against Osian's Art Fund, alleging it has not refunded him the dues from an investment scheme.

Sebi had dismissed the complaint by Muthuswamy on the ground that the case did not fall under its purview.

Muthuswamy had invested in Osian’s Art Fund's scheme. The company had not refunded the dues within the timeframe as stipulated in the scheme, he claimed.

Following that Muthuswamy had filed a complaint with Sebi on January 18, 2011. But the regulator, had on January 31, 2011 informed him through a written communication that his complaint did not come under its purview.

Pursuant to which, Muthuswamy approached SAT.

Sebi had contended before SAT that it was willing to re-examine the issue but is facing some constraint because of

... contd.