The Securities and Exchange Board of India (SEBI) on Wednesday told the Bombay High Court that it will not be taking any action against the summons issued to Subhash Chandra, chairman emeritus of ZEEL in the alleged funds diversion case until April 30.
Chandra has been asked by a bench led by Justice G.S. Kulkarni and Justice Firdosh Pooniwala to file a rejoinder.
Earlier, following a petition filed by Chandra, challenging the nature of SEBI’s summons, the market regulator had agreed to refrain from taking any action against Chandra for a three-week period, as per the court’s directive.
The Bombay High Court had granted SEBI two weeks to respond to Chandra’s petition.
The order was a temporary halt in legal proceedings and came as a respite for Chandra amidst the ongoing dispute.
Additionally, SEBI has also said that they might issue a corrigendum addressing the concerns raised by Chandra regarding the summons.
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“We keep all the contentions in that regard expressly open,” SEBI said in their undertaking.
SEBI issued multiple summons to Chandra earlier this year.