NEW DELHI, SEPT 10: The Delhi High Court today issued show-cause notices to the Central government and the Securities and Exchange Board of India (SEBI) on an application for restraining SEBI chairman D R Mehta from continuing in his post. However, Mehta will continue to function as the chairman as the court has not issued any directive on his term as the chairman.A division bench comprising acting Chief Justice Mahinder Narain and Justice Mukul Mudgal directed the respondents to file their reply by November 30, the next date of hearing in the matter.
The application filed by Arun Kumar Aggarwal challenged the continuance of D R Mehta as the chairman of SEBI despite expiry of his three-year tenure on February 20 this year.
Counsel for petitioner Prashant Bhushan contended that the continuance of Mehta as SEBI chairman was illegal and contrary to the SEBI (terms and conditions of services of Chairman and Members) Rules 1992 made under the SEBI Act.
The application also prayed for disclosing and makingaccessible all reports and quasi-judicial orders of SEBI as the board had been unreasonably and illegally withholding them in contravention of the fundamental rights of citizens guaranteed under Article 19 (1) (A) of the Constitution.
Copyright © 1998 Indian Express Newspapers (Bombay) Ltd.
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