Mumbai: In what can be perceived as a relief, the Securities Appellate Tribunal (SAT) gave an interim stay on a SEBI order that slapped a penalty of Rs 2 crore on beleaguered Yes Bank’s former MD Rana Kapoor, who has been in jail since March 2020 in the DHFL money laundering case, in a case of mis-selling the private bank’s AT1 bonds.
The interim relief came after the SEBI in July issued a demand notice to Kapoor, cautioning arrest and attachment of his assets over non-payment of the fine of Rs 2 crore, along with the interest.
The SAT order said: “We are of the opinion that prima facie the imposition of penalty appears to be harsh and disproportionate. We accordingly direct the appellant (Rana Kapoor) to deposit a sum of Rs 50 lakh within six weeks from today.”
“If the said amount is deposited, the balance amount shall not be recovered during the pendency of the appeals,” the appellate tribunal said in its order.
Further, the SAT also stated that it had granted an interim stay on the SEBU’s order imposing a penalty of Rs 25 crore on Yes Bank in the same matter. Moreover, it added that the appellant was also entitled to a similar relief.