Under what circumstances and how the recovery officer will proceed to recover the amount of penalty etc. imposed by adjudicating officer under the SEBI Act, 1992?

CS Executive · Securities Laws and Capital Markets · PYQS · June 2021
Under what circumstances and how the recovery officer will proceed to recover the amount of penalty etc. imposed by adjudicating officer under the SEBI Act, 1992?

Answer & Explanation:

Section 28A of the SEBI Act, 1992 deals with recovery the amount of Penalty by Recovery Officer. If a person- fails to pay the penalty imposed under this act or fails to comply with any direction of SEBI for refund of monies or fails to comply with a direction of disgorgement order issued under Section 11B or fails to pay any fees due to SEBI, the Recovery Officer may draw up under his signature a statement in the specified form specifying the amount due from the person. The Recovery Officer shall proceed to recover from such person the amount specified in the certificate by one or more of the following modes, namely: attachment and sale of the person's movable property; attachment of the person's bank accounts; attachment and sale of the person's immovable property; arrest of the person and his detention in prison; appointing a receiver for the management of the person's movable and immovable properties.

Topics: SEBI Act, 1992

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