SEBI Must Disclose Investigation Report With Accused: Delhi High Court

The Delhi High Court has held that SEBI cannot rely on an “intrinsic” investigation report to prosecute an accused without sharing a copy with them.

Setting aside a trial court order, the Court ruled that the report forms the very basis of SEBI’s decision to prosecute and is essential for a fair defence. 

Relying on Article 21 of the Constitution and the Supreme Court’s ruling in T Takano v SEBI, the Court held that claims of regulatory confidentiality cannot override the right to a fair trial.

It observed that withholding such material would place the accused at a clear disadvantage and violate principles of natural justice.

[Siddharth Shankar v. SEBI]