The Securities Appellate Tribunal (SAT), a quasi judicial body, has directed HSBC Mutual Fund to compensate the losses suffered by some investors in one of its debt schemes. This is the second order by the tribunal in little over a year asking the asset management company to make good the losses in the same scheme. This could potentially have a far-reaching impact where aggrieved investors are not treated fairly by fund houses. The case relates to complaints filed by some unit holders who had alleged that HSBC Mutual Fund had denied them an opportunity to exit their investments after it changed the fundamental attributes of the scheme.
http://economictimes.indiatimes.com/personal-finance/mutual-funds/mf-news/sat-asks-hsbc-mf-to-pay-for-losses-suffered-by-investors/articleshow/14813411.cms
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