SAT denies ‘blanket stay’ against SEBI order on PwC, lists for urgent final hearing [Read Order]

The Securities Appellate Tribunal (SAT) today refused to grant an interim stay in an appeal filed by Price Waterhouse & Co. (PwC) against an order passed by the Securities and Exchange Board of India (SEBI) on January 10, 2018 (Order)..The Order, among others, has prohibited PwC and its network entities in India from issuing audit certificates to any listed company in India for a period of two years. The regulator has also asked PwC to pay Rs 13.09 crore, along with interest at 12% per annum from January 2009 (approximately Rs 14 crore) for wrongful gains..An interim relief was sought by PwC against the Order, although the Order expressly does not impact audit assignments relating to the financial year 2017-18 undertaken by the firms forming part of the PwC network. It is for this very reason, that the interim stay appears to have been refused..While refusing to grant the interim stay since it does not impact it’s pending assignments, the SAT also directed PwC to submit a list of their clients along with the details of ‘existing work’ which is ‘over and above’ their audit assignments..The SEBI has been directed to file a response by February 8 and the matter has been listed for further hearing on 13 February..PwC was represented by Senior Counsels Janak Dwarkadas, Shyam Mehta along with Counsel Somasekhar Sundaresan briefed by law firm Zerick Dastur Advocates & Solicitors. SEBI was represented by Senior Counsel Shiraz Rustomjee briefed by law firm K Ashar & Co..Read Order