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2010 (8) TMI 173 - HC - Companies LawWhether the Securities and Exchange Board of India (‘the SEBI’) has power to issue show-cause notices to the Chartered Accountants in connection with the work which they have undertaken for a listed Company in the matter of maintaining accounts and balance-sheets? Held that:- The SEBI in the instant case, on the basis of show-cause notices, has jurisdiction to inquire into and investigate the matter in connection with manipulating and fabricating the books of account and balance-sheets of the Company. The powers of the SEBI are, therefore, independent and it cannot be said that it can encroach upon the powers of the Institute under the CA Act. The question of jurisdictional fact depends upon the facts which may be available at the time of evidence before the SEBI. SEBI will have to answer the question as to whether on the basis of evidence on record, it has any power to give directions as provided under the SEBI Act. This aspect will depend upon the evidence which may be available at the time of inquiry. All these aspects are therefore left to the consideration of SPBI at the time of passing final order in the inquiry.Since we have only interpreted the provisions of the SEBI Act and the CA Act, in our view, no substantial question of law of general importance is involved and hence the prayer for leave to appeal to Supreme Court is rejected.
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