Criminal Court Can't Deal With Allegations Of Misappropriation Of Investor's Money By Share Broker, SEBI Act Prevails: Allahabad High Court

Allahabad High Court: SEBI Act Prevails Over IPC and CrPC in Broker Misappropriation Cases The Allahabad High Court has held that the SEBI Act prevails over the IPC and CrPC in cases involving the misappropriation of investors’ money by brokers. The court ruled that criminal courts cannot take cognizance of such cases, as they fall under the jurisdiction of the SEBI Act, a special law that overrides general laws like the IPC and CrPC. The case involved a broker accused of misappropriating funds, and the court emphasized that disputes between brokers and investors should be resolved under the SEBI Act. The ruling underscores the importance of adhering to specialized legal frameworks for financial and securities-related disputes