Regulation 12

(1) The show-cause notice shall be in writing and shall state- (a) the provisions of the Code under which it has been issued; (b) the details of the alleged facts; (c) the details of the evidence in support of the alleged facts; (d) 15 [the provisions of the Code, rules, regulations and guidelines thereunder allegedly violated, or the manner in which the public interest is allegedly affected;] (e) the actions or directions that the Board proposes to take or issue, if the allegations are established; 16 [*] (f) the time within which the noticee may make written submission. 17 [(g) the manner in which service provider is required to respond to the show cause notice; and (h) consequences of failure to respond to the show-cause notice.] (2) For the purposes of clause (e) of sub-regulation (1), the Board shall take into account, but not limited to, the following factors: - (a) the nature and seriousness of the alleged contraventions, including whether it was deliberate, reckless or negligent on the part of the noticee; (b) the consequences and impact of the alleged contravention, including - (i) unfair advantage gained by the noticee as a result of the alleged contravention; (ii) loss caused, or likely to be caused, to 18 [stakeholders] or any other person as a result of the alleged contravention; and (iii) the conduct of the noticee after the occurrence of the alleged contravention, and prior to the alleged contraventions. (3) The show-cause notice shall provide 19 [fifteen] days to the noticee to make a written submission. (4) The show-cause notice shall state, if a noticee fails to respond under sub-regulation (3) within the given time, it shall be disposed of based on the material available on record. (5) The show-cause notice shall enclose copies of relevant documents and extracts of relevant portions from the report of investigation or inspection, or other records. 15 Substituted by Notification No. IBBI/2022-23/GN/REG087, dated 14th June, 2022 (w.e.f. 14.06.2022). Prior to substitution, it stood as “(d) the provisions of the Code, or the rules, regulations or guidelines made thereunder, allegedly violated;”. 16 Omitted by Notification No. IBBI/2022-23/GN/REG087, dated 14th June, 2022 (w.e.f. 14.06.2022). Prior to omission, the word stood as: “and”. 17 Inserted by Notification No. IBBI/2022-23/GN/REG087, dated 14th June, 2022 (w.e.f. 14.06.2022). 18 Substituted by Notification No. IBBI/2022-23/GN/REG087, dated 14th June, 2022 (w.e.f. 14.06.2022). Prior to substitution, the words stood as: “clients”. 19 Substituted by Notification No. IBBI/2022-23/GN/REG087, dated 14th June, 2022 (w.e.f. 14.06.2022). Prior to substitution, the words stood as: “at least 21”.

(6) 20 [A show-cause notice shall be served on the service provider in electronic form at the email address provided by the service provider to the Board and a copy shall also be sent by registered post.] (7) The Board shall refer the show-cause notice to the Disciplinary Committee alongwith all the relevant records including the written submissions, if any, made by the noticee in the matter.