A Case of Dispute in Share Market
A dispute often arises in the case of Share Market, and more often an individual suffers from disputes and losses because of their untrustworthy brokers. Mr. Rajesh being a sufferer of such an event decided to share his experience with us.
Mr. Rajesh is a resident of Mumbai and a Professional Share Market Investor, who on 15th of March, 2017 bought 100 shares from a firm, through the broker. Before buying he made sure about terms and conditions policy and about the firms of which he bought the shares.
The price with which he bought each share on the mentioned date was Rs.800, so he paid a total of Rs. 80,000. He had planned to keep the shares for the long term and monitored the movement of the graph for 3 years. On seeing the continuous increase of the graph, he decided to keep the shares a bit longer. But on 5th May 2020 at 12:30 pm, he received a message on his mobile phone that he has been credited Rs. 3,00,000 for selling all his 100 shares of the firm for Rs. 3000 each. He immediately called up the broker and asked for an explanation, failed to give any Rajesh decided to sue the broker for selling the shares of the firm without his approval, which in turn led to a dispute between the two. But then knowing the incident, one of Rajesh's friends suggested to him the PrivateCourt, which can resolve such issues outside court, and the victim can simply slip away from extra pressure and stress of long procedures of litigation.
Listening to his friend’s advice Mr. Rajesh decided to appeal about the incident in PrivateCourt and asked for a solution for his situation. On a conversation with an arbitrator, Mr. Rajesh provided the person with all available proofs he had against his broker, the policy papers, cheque, timings, messages, call recordings, and other important documents like pan card, bills, etc. PrivateCourt being an unbiased entity assured Mr. Rajesh for justice he seeks. After quite a struggle, both the parties agreed for arbitration. The Privatecourt is both Online Dispute Resolutions center (ODR) and Alternative Dispute resolution centers (ADR).
Even during the Covid-19 pandemic situation, the dispute resolution was online with arbitration and jury panelist. In the presence of an arbitrator & both the victims, all the papers, proofs, documents and statements were viewed very carefully and both parties were heard with their stories and a judgment was delivered.
As Mr. Rajesh succeeded in proving that the broker-sold his shares without the approval of the investor, and as the broker didn’t work within the ambit, he had to pay compensation to Mr. Rajesh as well as the firm. He also had to pay the fees which Mr. Rajesh had to spend on the case and arbitration. Satisfied with the judgment/award of the arbitrator and PrivateCourt, he decided not to go for Litigation.
By Debanu Ghosh