The Securities and Exchange Board of India resolved 2,457 complaints through its SCORES platform as of May 31, 2023. However, there were 3141 complaints still pending
The Securities and Exchange Board of India (Sebi) has disposed of 2,457 complaints against online listed companies and Sebi-registered intermediaries through its SCORES platform. This online complaints redressal system allows investors to lodge complaints related to the security market.
At the beginning of May 2023, there were 2,984 pending complaints. During May 2023, the platform received 2,626 complaints, and after disposal, the month ended with 3,141 pending complaints, according to data from Sebi.
The average time for resolving a complaint was 31 days, according to the data available. However, 28 complaints were pending for more than three months as of May 31, 2023, according to the data.
Let us know more about the platform and how an investor can use it.
What Is SEBI Complaints Redress System (SCORES)?
Sebi launched its SCORES online platform in June 2011 for investors as a grievance redressal system to expedite the solution of complaints. Sebi advises investors to contact the company or the person directly, which is the cause of the complaint, before approaching Sebi or lodging the complaint through SCORES.
According to the regulatory authority, complaints can be lodged on SCORES for any issues covered under the Sebi Act, Securities Contract Regulation Act, Depositories Act, and rules and regulations and provisions of Companies Act, 2013.
It specifies the matters and the type of companies against which the complaints cannot be dealt with on the SCORES platform. The platform does not deal in any complaint not pertaining to the securities market, anonymous complaints (except whistle blower complaints), incomplete complaints, or, complaints without adequate supporting documents, suggestions, complaints of dissatisfaction with the share trading price, non-listing of shares of a private offer, and disputes in private agreements with companies, forged document matters, complaints about un-regulated activity and those matters not in the purview of Sebi.
A complaint cannot be made on SCORES against any unlisted, delisted or sick company, vanishing companies, or companies whose matters are with the court of law.
The other companies, which are not covered are the Reserve Bank of India (RBI), the Pension Funds Regulatory and Development Authority (PFRDA), the Insurance Regulatory and Development Authority of India (IRDAI), Competition Commission of India (CCI), etc., or any company which comes under the purview of these and other regulatory bodies.
Registering A Complaint On SCORES Portal
An investor can register a complaint on the platform by filling out the complaint registration form with personal details, including name, address, email, mobile, Permanent Account Number (PAN), and company details, such as the category of the company, its name, and the nature of the complaint. A PDF document of up to 2MB can also be attached with the complaint as a supporting document.
After the registration is complete, the username and password are sent to the email mentioned in the registration form. After one submits the complaint, the system generates a unique registration number, while also sending an email to the complainant’s email address mentioning the unique registration number as an acknowledgment of the complaint.
If there is an issue with online registration, one can send the complaint to the Sebi office by post also.
Checking Status Of A Complaint
The platform offers the option to check the status of the complaint under ‘investor corner’ on its homepage. One can check the complaint’s status online with the complaint registration number.
In case of any technical issue, one can contact the toll-free helpline number 1800 266 7575 or 1800 22 7575 of Sebi to get details of the dealing officer to know the status of the complaint.
How Complaints Are Handled On The SCORES Platform
Sebi examines the complaints, and if it falls under its purview, it sends it to the concerned entity, which is required to submit the action taken report (ATR) within 30 days. In some cases, the complaint may remain pending for reasons like, non-receipt of adequate information from the investor or the company, vanished company, court matter, etc.
On receiving the complete documents required for examining the complaint and a satisfactory action taken report from the entity against which the complaint was made, it is treated as disposed of.
Where the investor fails to provide the required details, the complaint is disposed of. After disposal, an email is sent to the email id of the complainant in this regard.
If the complainant is not satisfied with the disposal, a fresh complaint can be lodged. Alternatively, one can send an email to the concerned dealing officer or the senior officers emails provided on the site. Further, one can also initiate legal action