Adjustment of Adjudication penalty of SEBI with Base Minimum Capital with Calcutta Stock Exchange

Querist :
Anonymous
(Querist) 04 March 2011
This query is : Resolved
Dear learned experts. Kindly guide me in the following matter.
One of my friend was a broker at Calcutta Stock exchange.In one case with SEBI, Calcutta, an adjudicated penalty of Rs.10lakhs was imposed on him. He is very old now & have closed his brokerage firm. He has no fund to pay the penalty. He has appealed to SEBI to book adjust his Base Minimum Capital of Rs.12 Lakhs kept with Calcutta stock Exchange. SEBI is refusing to do that & asking for the penalty money threatening dire consequences if not paid. My question is.
(1) What is the remedy now? Whom he should appeal to against the adjudication order?
(2) He is really unable to pay the pemalty. His Base Minimum Capital is blocked with Calcutta stock exchange & can not be released with out SEBI's permission. Can it not be adjusted with the penalty? What is the procedure for it? Whom should he appeal to?
A quick response is needed as he got three reminders from SEBI to pay.
Thanks in anticipation
Daksh
(Expert) 04 March 2011
Dear Anonymous,
The relationship of your friend is governed through the Agreement with the Exchange. Ask your friend to go through the terms of his Agreement and accordingly notify the SEBI regarding settlement of the dispute in writing failing which he can move the writ court for settlement of the dispute.
Best Regards
Daksh

Querist :
Anonymous
(Querist) 04 March 2011
He has already requested SEBI, Kolkata to book adjust/confiscate the adjudicated penalty amount from his Base Minimum Capital maintained with Calcutta Stock Exchange which can not be withdrwan by him with out SEBI's permission. SEBI has written back stating that they can not adjust or confiscate/forfiet the said Base Minimum Capital & insisted for payment of penalty otherwise........ which my friend can not pay. I also find from SEBI Act, 1992 Sec15 Y & 15 Z that Civil Courts have no jurisdiction in this matter & it can be appealed to Supreme Cout only which my friend can not try for his old age.
Kindly sugest a way. Can he appeal to Civil court for direction to adjust the penalty with his Base Minimum Capital lying with calcutta Stock Exchange? Kindly guide.