MAHESH RATILAL SHAH vs UNION OF INDIA

The Supreme Court addressed a writ petition under Article 226 challenging the recognition of the Bombay Stock Exchange (BSE) and the registration of its members by the Securities and Exchange Board of India (SEBI) for alleged violations of Sections 7 and 9 of the Securities Contracts (Regulation) Act, 1956. The Court held that SEBI has the authority under Section 11 of the SEBI Act, 1992 to regulate the securities market and protect investor interests, emphasizing that the BSE's rules must comply with the 1956 Act. The petition was dismissed, affirming the legality of the BSE's operations and SEBI's regulatory framework.