Capital markets regulator Securities and Exchange Board of India (Sebi) will appeal against a Hyderabad magistrate court order that denied it permission to interrogate Ramalinga Raju, former chairman of Satyam.
“We will appeal tomorrow,” a senior Sebi official told Hindustan Times, adding “We were told that there is no provision under Section 11 of the Sebi Act. That’s not good enough for us.”
One of the additional solicitor generals would present Sebi case before the appellate authority, the official said.
Sebi’s appeal, if accepted, will allow the regulator to interrogate Raju and his brother in the Rs 7,800 crore fraud in its probe to see if there was any insider trading.
Asked whether engineering major L&T, which has increased its stake in Satyam to over 12 per cent through open market transactions, has approached the regulator seeking waiver of open offer conditions, Sebi chairman C.B. Bhave said: “I cannot comment.” (With agency inputs)