Sebi mulls SC appeal following SAT's decision in Punit Goenka's favour

Following the decision by the Securities and Appellate Tribunal (SAT) to overturn the Sebi order that imposed a one-year ban on Punit Goenka, the CEO of Zee Entertainment Enterprises (ZEEL), preventing him from holding managerial and directorial roles in listed companies, reports suggest that the market regulator may consider appealing to the Supreme Court. There are also indications that the Zee board may soon convene to discuss Goenka's position in light of SAT's ruling in his favor.

The tribunal had previously prohibited Subhash Chandra, the Chairman of the Essel Group, and Goenka from holding important or directorial positions for a year, citing their alleged diversion of funds from the listed entity for personal gain. Goenka subsequently appealed the Sebi order to SAT, which has now set it aside.

Due to SAT's ruling to invalidate Sebi's directive, industry watchers feel that it may accelerate the Zee-Sony merger, given that the company is no longer encumbered by the legal uncertainties that had previously been a cause for concern.