SC Dismisses Avadhut Sathe Trading Academy Plea, Allows Rs 2.25-Crore Withdrawal for Operational Expenses

Financial Report: Avadhut Sathe Trading Academy Private Limited

Key Developments

The Supreme Court of India has dismissed a civil appeal filed by Avadhut Sathe Trading Academy Private Limited and others against the Securities and Exchange Board of India (SEBI). Despite the dismissal, the court has permitted the academy to withdraw Rs 2.25 crore to meet its monthly expenses.

Background

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The Securities Appellate Tribunal (SAT) had issued a judgment on January 22, 2026, directing Avadhut Sathe and his academy to deposit Rs 100 crore in a bank account, with a lien marked in favor of SEBI. The tribunal had also ordered the academy to file an affidavit disclosing the full details of their assets, along with a valuation certificate from a SEBI-certified valuer.

Court Ruling

The Supreme Court bench, comprising Justices PS Narasimha and Alok Aradhe, stated that it was "not inclined to interfere" with the SAT's judgment. However, the court granted limited relief by allowing the academy to withdraw Rs 2.25 crore to meet its monthly expenditure requirements.

SEBI Action

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SEBI had ordered Avadhut Sathe and his academy to deposit Rs 546 crore, deemed to be alleged illegal gains earned from providing unregistered investment advisory services. SEBI had also barred them from the market until further orders and restricted debit transactions in bank and demat accounts.

Next Steps

The matter will be further heard on March 26, with Sathe seeking four days to file an affidavit stating the position with regard to the valuation of asset inventories.