Mumbai/New Delhi, Dec 19 (PTI) The Securities Appellate Tribunal (SAT) on Friday granted partial relief to Avdhut Sathe Trading Academy, allowing the entity to withdraw money to meet its routine expenses.
Hearing an appeal filed by the entity following the Sebi order earlier this month asking for the disgorgement of Rs 546 crore of illegal gains, the SAT allowed ASTA to withdraw up to Rs 2.25 crore for meeting its monthly expenses.
The tribunal kept the hearing for January 9, once it reconvenes after the Christmas break.
On December 4, Sebi had passed an interim order against ASTA claiming that it was offering unregistered investment advisory and research analyst services while operating as an educational and training institute.
ASTA's counsel had sought a stay on the Sebi's directions and requested a de-freezing to permit withdrawals up to Rs 5.25 crore.
However, Sebi's counsel told the tribunal that a significant part (Rs 3 crore) was for advertisements and seminars, which was not immediate in nature, leading SAT to pass the partial relief.
Justice P S Dinesh Kumar did not grant any stay on the Sebi order, and asked the capital markets regulator to file a reply on the petition in six weeks.
Avadhut Sathe Trading Academy is operated by financial influencer Avadhut Sathe.
"Based on the proceedings today (Friday), the honourable Tribunal has passed an ad-interim order permitting ASTA to continue the operations," the academy said in a statement.
The academy further stated, "We have full faith in the judiciary and are optimistic that in the next hearing, all our prayers will be accepted. We are confident, justice shall prevail. We stay committed to our student community, nurturing an ecosystem of educated, skilled traders and investors."
Earlier this month, Sebi barred financial influencer Avadhut Sathe and his firm Avadhut Sathe Trading Academy from the securities market and directed them to disgorge Rs 546 crore of "unlawful gain" earned from the alleged unregistered investment advisory and research analyst business. PTI AA HG TRB
