SC refuses relief to SEBI against analyst cum commentator

NEW DELHI: The Supreme Court on Friday refused to grant any immediate relief to market regulator SEBI which is seeking action against financial analyst Mathew Easow, who is also a commentator on a TV channel, for allegedly bungling in securities market. SEBI counsel Pratap Venugopal has alleged that respondent (Easow), who regularly features on various electronic and print media, has recommended a very impressive price appreciation in certain scrips while he himself has sold those immediately, enabling himself to earn a huge profit at the cost of unsuspecting investors. Barely a month ago, former SEBI chief M Damodaran in an interview to a TV channel had noted media's role in "talking up" and "talking down" stocks. The Supreme Court bench headed by Justice B N Agarwal refused to grant any immediate relief saying that there was no urgency in the matter and it would be heard on March 31, the date scheduled for hearing. SEBI has challenged the Securities Appellate Tribunal judgement that set aside its order holding the Mathew Easow Research Securities Chairman, an exclusive commentator for CNBC TV channel guilty of violating Regulation 4(2)(f) of SEBI (Prohibition of Fraudulent and Unfair Trade Practices relating to Securities Market) Regulations. "SAT has failed to appreciate that the respondent, who regularly features on various electronic and print media vehicles, has recommended a very impressive price appreciation in certain scrips (between June-December 2005) within a short term, while he himself has sold those very shares on the same day, and on immediately succeeding days enabling himself to earn a huge profit at the cost of unsuspecting investors," counsel Pratap Venugopal said.
14 Mar, 2008, 2201 hrs IST, REUTERS The Economic Times