Authority: Appellate Authority under the RTI Act, Securities and Exchange Board of India

Order Date: July 07, 2026

Case Overview

The appeal was filed by Vikash Gupta against the CPIO, SEBI, Mumbai, challenging the response to an RTI application dated May 20, 2026. The application sought detailed information about an investigation/examination referenced in a Delhi High Court judgment dated August 12, 2024 (W.P.(C) 2223/2024). The High Court was informed by SEBI that an examination into transactions involving Max Financial Services Ltd. (MFSL), Max Life Insurance Co. Ltd. (MLIC), and Axis Group entities was at an advanced stage of completion.

The appellant sought six specific pieces of information: the current status of this investigation; confirmation of whether a final report had been completed; copies of any concluded findings or reports; details of any enforcement actions, show-cause notices, or penalties initiated; confirmation on whether the investigation was closed or ongoing; and copies of internal file notings and communications related to the investigation post the High Court judgment.

SEBI's CPIO denied the information in a response dated June 11, 2026, citing two exemptions under the RTI Act:

1. Section 8(1)(e): Information available in a fiduciary capacity, where no larger public interest in disclosure was demonstrated.

2. Section 8(1)(h): Information which would impede the process of investigation or prosecution, as the quasi-judicial proceedings were underway and had not reached a logical conclusion.

The appellant filed the appeal on June 14, 2026 (Reg. No. SEBIH/A/E/26/00219) on the ground that he was provided incomplete, misleading, or false information.

The Appellate Authority, Ruchi Chojer, upheld SEBI's denial. The order extensively relied on legal precedents, including the Supreme Court judgment in Institute of Chartered Accountants of India Vs. Shaunak H. Satya and Ors. (2011) and multiple orders from the Central Information Commission (CIC) such as Mr. Ashok Kumar Rajak vs. CPIO, SEBI (2021), Shri Ravi Ramaiya vs. SEBI (2015), Smt. Pushpa Devi Mohta vs. SEBI (2022), and Deepti Maheshwari vs. CPIO, SEBI (2023). These precedents established that investigation reports, internal communications, and documents received from third parties are held by SEBI in a fiduciary capacity and are exempt from disclosure. Furthermore, the Authority concurred that disclosing details of an ongoing investigation would impede the process.

The Authority also noted the appellant failed to establish how the disclosure was justified by a larger public interest, referencing the Supreme Court's observation in Bihar Public Service Commission vs. Saiyed Hussain Abbas Rizwi (2012) that exemptions under Section 8 are the rule and disclosure is only warranted in exceptional circumstances of larger public interest.

Final Outcome

The appeal was dismissed. The Appellate Authority found no deficiency in SEBI's response and upheld the denial of information under Sections 8(1)(e) and 8(1)(h) of the RTI Act. The investigation into the concerned entities remains ongoing, and no information pertaining to it will be disclosed.

Topics: RTI Appeal, SEBI Investigation, Fiduciary Information