CJI DY Chandrachud bats for additional SAT Benches to tackle increasing caseload

Vacancies in the Securities Appellate Tribunal(SAT) should be filled up without delay in view of the increasing financial and commercial disputes, Chief Justice of India (CJI) DY Chandrachud said on Thursday. .The appeals filed before SAT have increased manifold, he noted. "The rapid growth in the number of market participants, and the increase in the volume of financial transactions, brings with it the likelihood of an increased number of disputes pertaining to regulatory non-compliance, market conduct, corporate governance, and shareholders. The appeals filed before the SAT have increased manifold. In such a scenario, the vacancies in the SAT must be filled at the earliest to allow the tribunal to work effectively and at full capacity," the CJI stated. He suggested having more Benches of SAT to manage its escalating caseload. "In fact, the Securities and Exchange Board of India Act (SEBI Act) also allows for the setting up of benches of the SAT. It may be worth giving greater thought to the proposals of equipping the tribunal with additional benches and improved infrastructure to manage its escalating caseload," he said.Pertinently, he also said that since SAT currently has a bench only in Mumbai, the provision of virtual hearings as a matter of right is paramount."A tribunal with jurisdiction across the country must have digital resources to allow lawyers from different regions to appear before the tribunal easily and effectively," he said..The CJI was inaugurating the new premises of SAT in Mumbai.In his address, the CJI explained the thought process that goes into choosing the SAT chairperson."When we were choosing the chairperson of the tribunal, a great deal of thought went as there were lot of names and it involved highest levels of the government as it involved key economic functions. It does not necessarily have to be someone who has practiced securities law but has a robust and basic approach to regulation," he said.The CJI also elaborated on the important role played by SAT in financial markets' regulation."The Securities Appellate Tribunal is like a referee, ensuring that in the 'dog-eat-dog' world of finance, all stakeholders play by the rules. Just like any good referee, the SAT has successfully kept pace with the evolving game ... As you all know, the Supreme Court hears statutory appeals from the SAT and while each case has its journey – I have consistently observed that the judgments coming from this tribunal reflect a deep understanding of not only law and the relevant regulations in a pedantic sense but also of commercial realities and the intricacies of the capital markets."He praised the tribunal's Bar and Bench for displaying a high level of expertise and professionalism.Bombay High Court Chief Justice DK Upadhyay was also present on the occasion.