sachin (GM) 26 September 2010

Police not noting FIR in fraud / Cheating amounting 70 lacs

I have sent a complaint to NSE /SEBI/ EOW on 24 / 06 / 10, in respect of Fraud / Cheating amounting to Rs 70 Lacs (approx.) by the Officials of M/s Religare Securities Ltd in stock market. In this regard police have only noted complaint and are not lodging the FIR and have closed the file.

They have not investigated the matter properly and have not even traced out the email id saying that they can not do the investigation in context to the cyber crime and are also not even forwarding the case to Economic offence wing cyber crime division.

For legal proceeding I was advised to go to the Arbitration of NSE because of arbitration clause in the agreement. Even the police adviced that. Now, I have come to know that according to the Supreme Court Judgment in the serious allegations of Fraud and Criminal Misappropriation the matter can only be decided by court and not by the Arbitrator. In my case fraud / Cheating and Cyber Crime involving sending of fraudulent statements through e- mail is noticed against which i have lodged the complaint to EOW & Police Dept.

SC Ruling - Arbitration and conciliation act - Serious allegations of fraud and criminal misappropriation - Can only be decided by Court when parties lead detailed evidence and not by the Arbitrator. 2009(3) Apex Court Judgments 643 (S.C.).

As i have consulted lawyers i am highly confused , they say i should not avoid arbitration. It may get time barred ( six Months limit only). However it seems, arbitration does not have powers to decide in this case. Others say i should go to civil court + criminal court to get justice. I am confused.

I am unable to find the proper guidance from the SEBI / NSE Website. In this very case what should be my Legal course of action. Pls. guide accordingly, to seek justice. Will arbitration be of any help to me? Will the judgment of arbitration hold good in the case of fraud / criminal misappropriation? Will the revised fees of Rs. 30,000/- be reversed in that case?

Also pls. suggest some competent Lawyer with relevant experience with Contact No’s.

Thanks,

SACHIN BHARDWAJ

Mobile – 98109 33322

Reply Follow

11 Replies

Adv Archana Deshmukh (Practicing Advocate) 26 September 2010

If the police are not registering your FIR, you send your complaint by reg. post AD to the SP. If still the FIR is not registered then, you file complaint in the court requesting for investigation u/s. 156(3)crpc.

RAJ KISHORE VAISH (TEACHER CITIZEN OF INDIA) 26 September 2010

Dear Sir,

I am agreed with advocate Archna .

RAJENDRA (ADVOCATE) 01 October 2010

THERE IS A SEPARATE ECONOMIC OFFENCES WING IN POLICE, HEADED BY A DCP LEVEL PERSON

IN CASE U HAVE ALREADY LODGED THE COMPLAINT AND UR GRIEVANCE IS THAT THE INCHRGE OF UR POLICE STATION OF THE AREA IS SITTING OVER IT, U MAY APPROACH HIGHER OFFICIALS U/S 36 CR.P.C.

A MONTH THEREAFTER, U R FREE TO FILE A CRIMINAL COMPLAINT INTHE COURT OF CONCERNED MAGISTRATE ASKING FOR ACTION U/S 156(3) CR.P.C. AND SEEKING DEPARTMENTAL ACTION AGAINST COPS FOR PROTECTING THE ACCUSED

RNDATT

09426561072

SURESHKUMAR.S (ADVOCATE) 03 October 2010

As per SEBI ACT,1992, there are several clauses dealing your grievances. Civil court has got no jurisdiction to deal the matter.
You have to approach SEBI Board and against which if you aggrieved, Security Appellate Tribunal .

Similarly , only the SEBI board can give complaint against under criminal law .that too before Sessions court. No person's complaint will be taken cognizance. That's why police desist to take action. That is , even a complaint by you, they cant take action under law. competent person in SEBI Board. .

If regarding the rules, if you want to appeal, have to appeal before Central Government.

A similar model complaint was preferred against securities broker. for easy understanding, it is attached.

You may start to prefer approach concerned for necessary releif.

Refer sections 11 (1), 11 (2) (e) & 11 (2) (i) OF SECURITIES AND EXCHANGE BOARD OF INDIA ACT, 1992 for more clarity.

You may prefer complaint against those provisions and can seek a remedy . Punishments are referred under sections 15

Attached File : 20 20 sebi complt jbrose.doc downloaded: 221 times

junaid s.shabwany (lawyer) 05 October 2010

you can file a private complaint in the concerned court and seek investigation u/s 156 (3).

DEEPAK ASSOCIATES (08010117611) 08 October 2010

I agree with mr Suresh S. But at the same time you can file a complaint 156(3) CrPC, if the fraud has been committed.

you have not discribed the way of cheating and fraud. please send detail to proper advice

raghupathi reddy p (legal consutant) 08 October 2010

private complaint can be filed before the first class magistrate court under section 200 cr.p.c.

yember (law) 12 November 2010

I agree but to avoid any legal objection, Application should be made before the arbitrator alleging the fraud and all contents recorded for effective redressal of your grievance at the appellate stage and other legal proceedings.

Lalit Trakru, Advocate

RAJENDRA (ADVOCATE) 14 November 2010

I AGAIN ADVISE THAT IT AMOUNTS TO CRIMINAL BREACH OF TRUST BY AN AGENT, PUNISHABLE U/S 409 IPC. U R THEREFORE FREE TO FIRST APPROACH HIGHER POLICE OFFICERS U/S 36 CR.P.C. AND THEREAFTER APROACH MAGISTRATE U/S 200 CR.P.C. U SHOULD INSIST THAT INVESTIGATION SHOULD BE DONE EITHER BY THE MAGISTRATE HIMSELF OR THE DCP CRIME BRANCH. I DONOT KNOW WHAT R U WAITING FOR. BY THE WAY WHERE R U BASED AT. R N DATT 9426561072