On July 4, 2022, SEBI introduced changes in the Investor Grievance Redressal Mechanism for Stock Exchanges, including Commodity Derivatives Exchanges\/ regulated depositories. The SEBI circular SEBI\/HO\/MRD1\/ICC1\/CIR\/P\/2022\/94 has made reference to different Redressal Mechanism, Arbitration Mechanisms in Stock Exchange, and Comprehensive Frameworks for Investor Grievance Redressal Mechanisms. The Investor Grievance Redressal Mechanism framework provides efficient services to the investors and effectively addresses the grievances of the investors in a time-bound manner.<\/p>\n\n\n\n
Securities Board of Exchange of India has implemented an online SEBI Complaints Redress System (SCORES) to enable investors to lodge their complaints related to the capital market<\/a> against SEBI-listed companies and registered intermediaries.<\/p>\n\n\n\n SCORES is an online platform designed and launched by the securities markets regulator SEBI in June 2011 to help concerned investors to lodge their complaints online with respect to the issues that are covered under the SEBI Act, Securities Contract Regulation Act (SCRA)<\/strong><\/span>1<\/sup><\/a><\/span>, Depositories Act, and rules and regulations framed under the provisions of the Companies Act. All complaints received by SEBI against listed companies and registered intermediaries under SEBI are dealt with through SCORES.<\/p>\n\n\n\n For an investor to lodge a complaint on SCORES, the following personal details must be compulsorily provided by a complainant:<\/p>\n\n\n\n The SEBI circular has listed the following features of the SEBI Complaint Redressal System are:<\/p>\n\n\n\n According to the circular, The SEBI has asked All Regulated Stock Exchanges and Commodity Derivative Exchanges\/ Depositories to put an online complaint redressal system in place within 6 months from the date of the issuance of the SEBI circular. The newly introduced Investor Grievance Redressal System is intended to expedite the redressal process or speedy disposal of investors’ complaints.<\/p>\n\n\n\n The online redressal system would also end the need for physical movement of complaints. Further, reducing the possibility of loss and damage caused to physical complaints would be avoided entirely. This would also facilitate easy access and tracking of grievance complaints.<\/p>\n\n\n\n SEBI has advised All Recognized Stock Exchanges, including Commodity Derivatives Exchanges\/Depositories, to widely publicize (on the website of the Exchanges) their online web-based complaints redressal system (Investor Grievance Redressal System).<\/p>\n\n\n\n During the COVID-19 pandemic, stock exchanges were advised to conduct the complaints\/GRC\/ Arbitration\/ Appellate Arbitration process online (hearings\/meetings) for speedy redressal. It was observed that the online process saves cost and time for the parties, which is in the best interest of the investors.<\/p>\n\n\n\n Hence, SEBI has asked stock exchanges to continue with the hybrid mode of conducting GRC and arbitration or appellate arbitration process, i.e. online and offline. And the depositories will also have to follow the hybrid mode.<\/p>\n\n\n\nWhat is SCORES-SEBI Complaints Redress System?<\/h2>\n\n\n\n
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What are the features of the newly introduced Complaint Redressal System?<\/h2>\n\n\n\n
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Hybrid Mode of Conducting Grievance Redressal Complaints and Arbitration \/ Appellate Arbitration<\/h2>\n\n\n\n
Changes In SEBI Circular No. SEBI\/HO\/DMS\/CIR\/P\/2017\/15 Dated February 23, 2017<\/h2>\n\n\n\n