Securities Appellate Tribunal (SAT) is a statutory body constituted under the provisions of Section 15K of the Securities and Exchange Board of India (SEBI) Act of 1992. The tribunal was mainly established to hear and dispose of appeals against orders passed by the Security and Exchange Board of India or by an adjudicating officer under the Act, and to exercise jurisdiction, powers, and authority conferred on the Tribunal by the act or any other law. In this article, we will be looking at the Securities Appellate Tribunal, SEBI, and Appearance before SAT in detail.


If you have heard of the stock market you must have heard about the Securities and Exchange Board of India. Well commonly, it is referred to as SEBI. So, what are stock markets? A place where the exchange of shares takes place.  There are 23 stock markets in India and SEBI looks after them and regulates them.

SEBI is a statutory body established in 1992 under the provisions of the SEBI Act, 1992. The basic function of the SEBI is to protect the securities market and the interests of the investors. Capital Issues (Control) Act, 1947 gave regulatory authority to the Controller of the Capital Issues, before SEBI came into existence.

SEBI was made the regulator of capital markets in India under a resolution of the Government of India, in 1988. Initially, SEBI was a non-statutory body. It became an autonomous, statutory body in 1992 by the SEBI Act. The functions of SEBI include drafting rules and regulations, keeping a check if anyone is violating the rules, and investigating and executing plans of action.

To carry out the judicial functions of SEBI, a body was required which could hear the appeals related to the judicial proceedings, this is when Securities Appellate Tribunal came into existence. Securities Appellate Tribunal was established in 1995 under Section 15 K of the SEBI Act, 1992.

Composition, appointment, and tenure of the members of SAT (given under section 15N of the SEBI Act, 1992)

SAT consists of

A presiding officer

Appointment of the presiding officer- is appointed by the central government in consultation with the chief justice of India or his nominee.

Tenure- Earlier of the two

Five years at a time or re-appointment or 68 years of age

And Two other members

Appointment of the members- appointed by the central government.

Tenure- Earlier of the two

Five years at a time or re-appointment or 62 years of age.

Qualifications of the members of the Securities Appellate Tribunal

For the presiding officer

The person concerned should have served as the judge of the supreme court or the chief justice of a high court or a judge of a high court but not for a term of less than 7 years.

For a Judicial Member

The person concerned should have served as the judge of a high court for a term not less than 5 years.

For a Technical Member

The person concerned should have served as a secretary or an additional secretary in the Ministry or Department of the Central Government or any equivalent post in the central government or the state government.

Also, the person should have good knowledge in the field of the securities market or pension fund or insurance, and financial markets as a whole. The person must have ability, integrity, and knowledge with fifteen years of professional experience.

Powers of SAT[1]

some major powers of the SAT are listed below:

  1. Summoning and enforcing the attendance of any person
  2. Requiring the history and production of the documents.
  3. Reviewing the decisions, etc.


Appeals before the securities appellate tribunal can be made if any person is aggrieved by any order of the Security and Exchange Board of India or an adjudicating officer. It has to be noted that no appeal can be made if the decision is made after the consent of the parties.

A time limit has been prescribed to make an appeal. Every appeal should be made before the Securities Appellate Tribunal within 45 days from the day of receiving a copy of the order from the SEBI or an adjudicating office. Appeals after 45 days will be taken into consideration only if there is a valid reason for not filing an appeal within the prescribed time limit. The appeal should be made in three copies and signed by the authorized person.

As per the SEBI Act, the persons who can appear before the Securities Appellate Tribunal are, Company Secretary, Chartered Accountant, Cost Accountant, or a Legal Practitioner.


“An appeal should be presented in the prescribed form by an aggrieved person in the registry of the appellate tribunal within whose jurisdiction falls or can be sent by registered post addressed to the registrar. The appeal sent by post should be presented in the registry on the same date on which it was received in the registry.” [2]

Every appeal which is registered must pay a fee through a demand draft on any nationalized bank and the fee is payable at the place where the registry is located. The amount of fee imposed is given under [3]

s.noAmount of penalty imposedAmount of fees payable
1Less than Rs. 10,000Rs. 500
2Rs. 10,000 or moreRs. 1200
3Rs. 1 lakh or moreRs. 1200 inclusive of Rs. 500 for every one lakh penalty


SEBI is the prime regulator of the securities market and if it does not satisfy any company or organization with its regulations, a full privilege to challenge the same has been given to the aggrieved party under SAT. there are many examples where SAT checked the accountability and credibility of SEBI. SAT in this way helps to mitigate the problems arising out of the orders of the SEBI. Every proceeding before the SAT has to be considered a judicial proceeding under the ambit of sections 193 and 228, and for the purpose of a civil court under the section 196 of the Indian Penal Code,1860


[1] Procedures and powers of the SAT



Aishwarya Says:

I have always been against Glorifying Over Work and therefore, in the year 2021, I have decided to launch this campaign “Balancing Life”and talk about this wrong practice, that we have been following since last few years. I will be talking to and interviewing around 1 lakh people in the coming 2021 and publish their interview regarding their opinion on glamourising Over Work.


Do follow me on FacebookTwitter  Youtube and Instagram.

The copyright of this Article belongs exclusively to Ms. Aishwarya Sandeep. Reproduction of the same, without permission will amount to Copyright Infringement. Appropriate Legal Action under the Indian Laws will be taken.

If you would also like to contribute to my website, then do share your articles or poems at

In the year 2021, we wrote about 1000 Inspirational Women In India, in the year 2022, we would be featuring 5000 Start Up Stories.




Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Create a website or blog at

Up ↑

%d bloggers like this: