The Appellate Authority of Securities Exchange Board of India ( SEBI ) has ruled that the legal opinion or clarification from CPIO is not considered as ‘Information’ under Section 2(f) of the Right to Information Act, 2005.
The appellant, Geeta Khattar had initially submitted an RTI application on December 29, 2024, seeking clarification on the legal provisions under which stockbrokers issue risk management policies and install mechanisms on their online trading platforms.
The respondent-CPIO, SEBI in a reply dated January 9, 2025, informed the appellant that certain queries were in the nature of seeking legal interpretation and, therefore, did not constitute “information” under the RTI Act.
Despite this, SEBI provided a reference to Clause 18.5.2 of the SEBI Master Circular on Stock Brokers, issued on August 9, 2024, for relevant provisions.
Boost Your Earning Potential: Upskill in Tax and Finance, Click Here
Dissatisfied with the response, the appellant filed an appeal on January 17, 2025, alleging denial of requested information. Upon review, the Appellate Authority upheld SEBI’s stance, emphasizing that the RTI Act mandates the disclosure of existing records and does not require public authorities to interpret laws, offer clarifications, or provide legal opinions.
Citing previous rulings by the Central Information Commission (CIC), including Mahendra Kumar Mehta vs. CPIO, SEBI (April 12, 2021), the Authority reiterated that the CPIO is not obligated to furnish replies to situational queries or provide legal guidance.
Regarding additional queries related to stockbrokers’ regulatory approvals, SEBI found them vague and lacking specificity, further affirming that the RTI Act only mandates disclosure of clearly defined, documented information held by public authorities. Referring to T.V. Sundaresan vs. CPIO, SEBI (November 24, 2021), the Authority noted that broad, presumptive, or hypothetical questions cannot be entertained under the Act.
In conclusion, the Appellate Authority found no grounds to interfere with SEBI’s initial response and dismissed the appeal.
Subscribe Taxscan Premium to view the JudgmentSupport our journalism by subscribing to Taxscan premium. Follow us on Telegram for quick updates
