SAT to hear Avadhoot Sathe Trading Academy’s plea in the ₹546 crore seizure case on January 9, 2026. SEBI’s interim order has been challenged. At present the academy has got permission to withdraw limited amount.
SEBI ASTA Ban: An important turn has now come in the ongoing dispute between Avadhoot Sathe Trading Academy (ASTA) and market regulator SEBI. The Securities Appellate Tribunal (SAT) will hear on January 9, 2026, the academy’s plea challenging SEBI’s order on seizure of Rs 546 crore and barring it from the stock market. The eyes of investors, trading community and market experts are fixed on this matter, because this case is related to investment advice, training business and regulatory rules.
Why did SEBI’s interim order come?
SEBI issued an interim order on December 4, 2025, leveling serious allegations against Avadhoot Sathe Trading Academy. According to the regulator, the academy was providing services like investment advisory and research analyst without registration in the name of “education” and “training”. SEBI says that this work is against SEBI rules and investors were misled by it. On this basis, SEBI ordered to confiscate Rs 546 crore from the academy and keep it out of the stock market.
Petition and next hearing in SAT
The academy approached SAT against this order of SEBI. The tribunal has fixed January 9, 2026 for hearing the case. SAT also clarified that the current situation will continue due to court holidays. That means SEBI’s order will remain in force until any new instructions come in the next hearing.
Partial relief of SAT before hearing
However, SAT has given partial relief to the academy. The tribunal has allowed the academy to withdraw Rs 2.25 crore from its bank accounts this month. This permission has been given to meet daily expenses. Justice PS Dinesh Kumar said in his order that this relief is being given in view of the court holidays. Along with this, SAT has also given SEBI six weeks time to file its reply in this matter.
What was the demand of the academy
Avadhoot Sathe Trading Academy had demanded a complete stay on the SEBI order from SAT. Apart from this, the academy had also sought permission to withdraw Rs 5.25 crore every month to meet the expenses of its staff, office expenses and other operational expenses. The academy said that due to the freezing of accounts, its entire work has come to a standstill.
Why did SEBI oppose the demand?
SEBI strongly opposed this demand of the Academy. The regulator said that many of the expenses cited by the academy are not immediately necessary. According to SEBI, expenses like advertisements, seminars and promotional activities cannot be considered as essential everyday needs. Therefore, it would not be appropriate to allow withdrawal of large amount every month.
Academy’s lawyer’s argument
On behalf of the academy, senior advocate Janak Dwarkadas argued in SAT that the SEBI order was given suddenly, due to which the academy did not get a chance to present its views. He said that due to this order the entire business of the academy has come to a halt and it is tantamount to “economic death” of the institution. The lawyer also said that taking such a drastic step without a hearing is against the principles of natural justice.
Responding to these allegations of the Academy, SEBI said that this action was not taken suddenly. According to the regulator, the academy was given an administrative warning in March 2024 itself. Despite this, the alleged wrongful activities continued. SEBI said that during the search and seizure operation in August 2025, many important evidences were found, on the basis of which this interim order was issued.
SEBI’s serious allegations
SEBI’s ex-parte interim order said that the academy and its affiliates continued to post misleading videos on social media, inflated experiences and promises of extraordinary profits. The regulator says that many investors suffered huge losses due to these claims. SEBI called it against the interests of investors and called for strict action.
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