press trust of india
NEW DELHI, 18 JUNE: More than 1,000 investor complaints have been pending against 28 listed companies, including ONGC, Coal India, ITC, Sterlite Industries and Zylog Systems, for more than two months, according to the market regulator Securities and Exchange Board of India (Sebi).
According to the Sebi’s Online Complaints Redress System (SCORES) data, a total of 28 listed companies had 10 or more complaints pending against them for a period of more than 60 days, as on 31 May 2013.
At the end of fiscal 2012-13, there were collectively 911 complaints pending against 23 companies. Of the total 1,035 investor complaints pending against 28 companies at May-end, the maximum number of complaints (193) were pending against Vatsa Corporations. The company had 191 complaints registered against it as on 31 March 2013.
There were 154 investor grievances against Malanpur Steel, 145 against Acropetal Technologies and 111 against state-run giant ONGC.
Zylog Systems (46), Coal India (28) Sterlite Industries (21) and ITC Ltd (11) are among other firms against which investor complaints were pending.
A total of 115 complaints were pending for over two months against three merchant banks, two mutual funds and one registrar to an issue/share transfer agent (Karvy Computershare Private Ltd).
The merchant bankers included Enam Securities (27), Citigroup Global Markets (13) and Kotak Mahindra Capital (12).
Besides, Reliance Mutual Fund and UTI Mutual Fund had 33 and 13 investor complaints respectively pending against them.
Sebi online complaint redressal system, SCORES, lists all entities functioning in the capital market, including listed companies, stock exchanges, merchant bankers and mutual funds.
The list includes those entities against which more than 10 complaints are pending for more than 60 days. Sebi has excluded entities against which enforcement action has been initiated by it for non-redressal of investor complaints.
On 17 April, this year, Sebi had directed stock exchanges and listed companies to redress investor complaints within a month of receiving them. The regulator has said that failure to adhere to these directions would attract penal action.
SCORES which was launched by the regulator in June 2011 provides a centralised database of all complaints, online movement of complaints to the concerned listed companies, online upload of Action Taken Reports (ATRs) by the concerned companies. It also helps investors view, track and follow up the actions taken on their grievance.
The shift to the online redressal system has significantly helped reduce the processing time of complaints.
SEBI ONLINE REDRESSAL SYSTEM
– Of the total 1,035 complaints pending against 28 companies at May-end, the maximum number (193) were against Vatsa Corporations
– Reliance Mutual Fund and UTI Mutual Fund had 33 and 13 investor complaints respectively pending against them
– There were 154 investor grievances against Malanpur Steel, 145 against Acropetal Technologies and 111 against state-run giant ONGC
– Complaints against merchant bankers included Enam Securities (27), Citigroup Global Markets (13) and Kotak Mahindra Capital (12)