SECURITIES APPELLATE TRIBUNAL (Syllabus: GS Paper 3 – Economy)

Context: Recently, the Securities Appellate Tribunal (SAT) overturned the 2021 order by the markets regulator against Reliance Industries Ltd (RIL) and the Navi Mumbai Special Economic Zone (SEZ) in a case involving alleged manipulative trades in shares of the former Reliance Petroleum Ltd.

Securities Appellate Tribunal (SAT)

• About: It is a statutory and autonomous body.
• Establishment: Under the provisions of the Securities and Exchange Board of India Act, 1992.
• Composition: Presiding officer, Judicial members and technical members.
• Appointment: The appointment of Presiding officer and other members of SAT is done by a committee headed by Prime Minister of India.
• Powers:

o Orders issued by the Insurance Regulatory and Development Authority of India (IRDAI) in relation to cases filed before it.

o Orders issued by the Pension Fund Regulatory and Development Authority (PFRDA) in relation to cases filed before it.

o Hear the orders passed by Securities and Exchange Board of India.

Securities and Exchange Board of India (SEBI)

• Establishment: As a statutory body in the year 1992.
• Headquarters: Mumbai, Maharashtra
• Ministry: Ministry of Finance
• Aim: To protect the interests of investors in securities and to promote the development of, and regulate the securities market.