Sebi Classifies Rs 76,293 Cr As "Difficult To Recover" In 2023-24, Marking 4% Increase
In its annual report for 2023-24, Sebi notes that DTR dues are those where all recovery methods have been exhausted without success
The Securities and Exchange Board of India (Sebi) has classified dues amounting to Rs 76,293 crore as "Difficult to Recover" (DTR) as of 31 March 2024, reflecting a 4 per cent increase from the previous year. This growing figure highlights ongoing challenges in recouping outstanding dues, despite exhaustive recovery efforts by the regulator.
In its annual report for 2023-24, SEBI noted that DTR dues are those where all recovery methods have been exhausted without success. The regulator clarified that this classification is an administrative measure and does not preclude future recovery efforts should conditions change.
Out of the 807 cases identified as DTR, a significant portion, totaling Rs 72,169 crore (95 per cent of the total), is tied up in legal proceedings. Specifically, Rs 12,199 crore is pending due to cases in State PID courts, the National Company Law Tribunal (NCLT), and the National Company Law Appellate Tribunal (NCLAT). Additionally, Rs 59,970 crore is held up in 60 cases before court-appointed committees.
The remaining DTR cases include 140 untraceable entities, with Rs 13.3 crore associated with individuals and Rs 15.7 crore with companies.
Overall, Sebi is tasked with recovering Rs 1.03 lakh crore in dues, including fines and fees, from entities that have not complied with its orders. A significant portion of this total, Rs 63,206 crore (61.5 per cent), relates to cases involving PACL and Sahara India Commercial Corporation, both of which are tied to Collective Investment Schemes (CIS) and Deemed Public Issues (DPI).
In addition to managing these difficult recoveries, SEBI initiated 342 new investigations in 2023-24, a significant increase from the 144 cases in the previous year. These cases primarily involve allegations of insider trading, market manipulation, and price rigging. Out of these, 197 cases were concluded during the year.
