A special Mumbai court has ordered the Anti-Corruption Bureau (ACB) to register an FIR against former SEBI chairperson Madhabi Puri Buch and five other officials over alleged stock market fraud and regulatory violations. Judge Shashikant Eknathrao Bangar highlighted prima facie evidence of regulatory lapses and collusion, necessitating a fair and impartial probe. The court will monitor the investigation and has requested a status report within 30 days, criticizing the inaction of law enforcement agencies and SEBI.
The complaint alleges large-scale financial fraud, regulatory violations, and corruption, with claims of a company being fraudulently listed on the stock exchange with the involvement of SEBI officials, bypassing compliance requirements under the SEBI Act, 1992.
