Worst Problem What To Do?

[aca_trader]

Munchi,
Certainly I was not talking on legalities, how can they be my domain!!I was talking abouot arm-twisting.

Best Regards,
--Ashish

 

[munchikana]

Munchi,
Certainly I was not talking on legalities, how can they be my domain!!I was talking abouot arm-twisting.

Best Regards,
--Ashish

Forget about legal problems. You need to approach lawyers only when all other methods fail. Yu can employ various other psychological methods to pressurise him and to make him pay up the amount. I was just making aware you about what is going on in legal field of this country. Because, what we see on TV is not at all close to even 5% of what is happening in courts. Infact, these TV serials and TV journalists have succeeding only in misleading public about this field. The scenes of court room as shown in TV (especially TV serials) is now where close to even 5% of "real court room" proceedings. Just off topic in this thread, but very relevant in this forum, have you noticed the striking similarity between the tactics employed by FII and legal professionals to make money for themselves and for their clients? I do agree that fields are different, modes of operation are different but the end goal is the same.

 

[trader31339]

First of all I would like to inform the fellow members that I am not undergoing any problem regarding payouts.

i started this thread so that we can discuss the worst problem alongwith solution. So that anybody suffering a specific problem can get a ready guide here. You can say ready reckoner for problems related to brokers.

Coming back to the problem,
A small person who has only 1 lakh , which he has parked to broker feels uneasy the moment he realises that the broker is hesitiating to give money, the moment he feels that its very tough to get the money.

initally the person will try to take out money by speaking lovingly sweetly with the broking co.
Normally ppl atleast small and middle class ppl try to want to settle things calmly coz they dont have that much money power to go for legal.They dont even have thatmuch will power or patience. A big broking co, is comforatble to pay to lawyers , but not a middle class man.

So, the solution again,
Ask for payout.
If you dont get payout within the time email them saying that you have not recived the payouts and if you dont recive the payouts within 12 hours you will approach to sebi.
If you recive any reply to this email then well and good else FAX them or you can also send a registered post again saying that you have not recived the payouts and if they fail to release funds you will make complain to stock exchange or sebi.

make a complain to the stock exchange and they will do the needful.



FAQ given on sebi site, http://www.sebi.gov.in/Index.jsp?contentDisp=SubSection&sec_id=51&sub_sec_id=51

38. What happens if I do not get my money or share on the due date?



In case a broker fails to deliver the securities or make payment on time, or if you have complaint against conduct of the stock broker, you can file a complaint with the respective stock exchange. The exchange is required to resolve all the complaints. To resolve the dispute, the complainant can also resort to arbitration as provided on the reverse of contract note /purchase or sale note. However, if the complaint is not addressed by the Stock Exchanges or is unduly delayed, then the complaints along with supporting documents may be forwarded to Secondary Market Department of SEBI. Your complaint would be followed up with the exchanges for expeditious redressal.



In case of complaint against a sub broker, the complaint may be forwarded to the concerned broker with whom the sub broker is affiliated for redressal.



39. What recourses are available to me for redressing my grievances?



You have following recourses available:



* Office of Investor Assistance and Education (OIAE) : You can lodge a complaint with OIAE Department of SEBI against companies for delay, non-receipt of shares, refund orders, etc., and with Stock Exchanges against brokers on certain trade disputes or non receipt of payment/securities.



* Arbitration: If no amicable settlement could be reached, then you can make application for reference to Arbitration under the Bye Laws of concerned Stock Exchange.



* Court of Law









40. What is Arbitration?



Arbitration is an alternative dispute resolution mechanism provided by a stock exchange for resolving disputes between the trading members and their clients in respect of trades done on the exchange.



41. What is the process for preferring arbitration?



The byelaws of the exchange provide the procedure for Arbitration. You can procure a form for filing arbitration from the concerned stock exchange. The arbitral tribunal has to make the arbitral award within 3 months from the date of entering upon the reference. The time taken to make an award cannot be extended beyond a maximum period of 6 months from the date of entering upon the reference.



42. Who appoints the arbitrators?



Every exchange maintains a panel of arbitrators. Investors may choose the arbitrator of their choice from the panel. The broker also has an option to choose an arbitrator. The name(s) would be forwarded to the member for acceptance. In case of disagreement, the exchange shall decide upon the name of arbitrators.



43. What happens if I am aggrieved by the award of the arbitrator?



In case you are aggrieved by the arbitration award, you can take recourse to the appeal provisions as given in the bye-laws of the Exchange.



Munchikana,
By reading these FAQ given on sebi site on the foll link, http://www.sebi.gov.in/Index.jsp?contentDisp=SubSection&sec_id=51&sub_sec_id=51

I am confused regrading arbitration, munchikana does it means that stock exchange will resolve all problems by arbitration or arbitration is one of the way?