A file photo of Sebi chairman U.K. Sinha, who, according to the PIL, had not applied to be considered for re-appointment to the committee. Photo: HT
New Delhi: The Supreme Court on Wednesday agreed to hear a public interest litigation (PIL) challenging the procedure followed for the recent re-appointment of Securities and Exchange Board of India (Sebi) chairman U.K. Sinha.
The public interest litigation, brought by petitioner Uday Babu Khalwadekar, alleged that the extension of his appointment from 18 February, 2016 to 1 March, 2017 was illegal and in violation of the Sebi (Terms and conditions of service of chairman and members) Rules, 1992.
The PIL alleged that Sinha, 64, was beyond the age limit prescribed for the appointment, which was 60 under a notification passed by the ministry of finance on 24 August.
It has been contended that the re-appointment was made on the recommendation of the finance ministry, ignoring candidates suggested by a search-cum-selection committee.
The petition said Sinha had also not applied to be considered for re-appointment to the committee.
Sebi declined to comment on the matter.
Sinha took charge of Sebi in 2011 for a three-year term. Subsequently, he was granted an extension for two years; his term as Sebi chief had ended on 17 February 2016.
The case will be heard next on 22 April.
[“Source-Livemint”]
