Examine the role of Adjudicating Officers under the SEBI Act, 1992 to determine the quantum of fine when any provisions specified in the SEBI Act or SCRA, 1956 are not been complied with.

According to section 15J of SEBI Act, 1992, while adjudging quantum of penalty under 15-I or section 11 or section 11B, the Securities and Exchange Board of India (SEBI) or the adjudicating officer shall have due regard to the following factors, namely: (a) the amount of disproportionate gain or unfair advantage, wherever quantifiable, made as a result of the default; (b) the amount of loss caused to an investor or group of investors as a result of the default; (c) the repetitive nature of the default. In the case of SEBI v. Bhavesh Pabari, a full bench of the Hon'ble Supreme Court held that an Adjudicating Officer (AO) has the right and discretion to determine the quantum of fine when any provisions specified in the SEBI Act or SCRA are not complied with. The decision broadened the application of Section 15J of the SEBI Act, 1992 and highlighted that the three reasons listed therein must only be regarded as illustrative and not exhaustive in nature, hence allowing the AO to assess the punishment after a consideration of all aggravating and mitigating factors. This decision has evolved considerably over the years, to now recognise the ability of AOs to not impose penalties at all, even in cases where a non-compliance is identified, but is not significant enough to merit a penalty.