Decipher Labs Ltd, a Hyderabad-based pharmaceutical company, has received partial relief from the Securities Appellate Tribunal (SAT) against a previous Securities and Exchange Board of India (SEBI) order. The SAT's decision provides some respite for the company and its directors in the face of regulatory action.

Key Points of the SAT Order

Stay on Trading Restrictions

The SAT has granted a stay on the restrictions that prevented Decipher Labs from dealing in securities for one year, as imposed by the SEBI order dated July 31, 2025.

Directors Allowed to Sell Shares

Mr. Janakiram Ajjarapu and Mr. Sushant Mohan Lal, directors of the company, have been permitted to sell shares from their demat accounts.

Suspension of Coercive Action

The tribunal has suspended coercive action for the recovery of disgorgement and penalty amounts from the directors, subject to a condition.

Conditional Relief

The directors are required to deposit 50% of the penalty amount within four weeks from the date of the SAT order (September 16, 2025).

Background of the SEBI Order

The original SEBI order, which led to this appeal, involved alleged violations related to:

• Prohibition of Fraudulent and Unfair Trade Practices (PFUTP) Regulations
• Prohibition of Insider Trading (PIT) Regulations
• Listing Obligations and Disclosure Requirements (LODR) Regulations

Company's Statement

Decipher Labs has stated that the SAT order will have no impact on its financial, operational, or other activities. The company made this disclosure in compliance with Regulation 30 of the SEBI Listing Regulations, 2015.

Implications for Investors

While the partial relief from SAT allows Decipher Labs to continue its securities-related activities, investors should note that the case is still ongoing. The conditional nature of the relief, requiring a significant deposit from the directors, suggests that regulatory scrutiny remains.

As the situation continues to evolve, stakeholders are advised to monitor further developments and official communications from the company and regulatory bodies.

Decipher Labs Limited, a Hyderabad-based company, has made several significant announcements following its Board of Directors meeting held on September 5, 2025. The company has approved key appointments and scheduled its Annual General Meeting (AGM) for the end of the month.

Board Approves New Appointments

The Board of Directors has given its approval for the following appointments:

1. Secretarial Auditors: M/s. Aakanksha Dubey & Co., Practicing Company Secretaries, have been appointed as the Secretarial Auditors of Decipher Labs. The firm has been appointed for a five-year term from 2025-26 to 2029-30, subject to shareholder approval.

2. Internal Auditor: Mr. Sushant Mohan Lal has been appointed as the Internal Auditor for the financial year 2025-26. Mr. Lal holds an MBA from Kansas University, USA.

3. Independent Director: The Board has approved the re-appointment of Mrs. Lakshmi Vijaya Nimmala as an Independent Director for a five-year term, effective from February 14, 2026, subject to shareholder approval. Mrs. Nimmala holds an MBA with a specialization in Finance.

Annual General Meeting Scheduled

Decipher Labs has set the date for its Annual General Meeting for the financial year 2024-25. The AGM is scheduled to take place on September 30, 2025, at 11:00 a.m. through video conference or other audio-visual means.

In preparation for the AGM, the Board has appointed M/s. S.S. Reddy & Associates, a Practicing Company Secretary, as the scrutinizer for conducting e-voting during the meeting.

Corporate Governance Measures

These appointments and the scheduling of the AGM demonstrate Decipher Labs' commitment to maintaining strong corporate governance practices. The company has ensured compliance with the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, by providing detailed information about the new appointees and the terms of their appointments.

The Board meeting, which commenced at 5:00 P.M. on September 5, 2025, concluded at 5:40 P.M. after addressing these important matters. Shareholders and interested parties are advised to take note of these developments and the upcoming AGM date.