Under SEBI regulations, within what maximum timeframe must a Research Analyst redress client grievances, and what recourse exists on the SMARTODR platform if resolution fails?

[ A ]Redress grievances within 10 years; no online dispute resolution mechanism exists in India.

[ B ]Redress grievances within 2 hours by paying cash fines to the stock exchange clearing bank.

[ C ]Research analysts are exempt from all investor grievance handling obligations under SEBI regulations.

[ D ]Redress grievances promptly and not later than 21 calendar days from receipt; if unsatisfied, the investor can escalate via SCORES 2.0 or initiate online conciliation and arbitration on the SMARTODR platform.[ CORRECT ]

Takeaway

Option D is correct: Redress grievances promptly and not later than 21 calendar days from receipt; if unsatisfied, the investor can escalate via SCORES 2.0 or initiate online conciliation and arbitration on the SMARTODR platform.

Derivation

Under Regulation 26B of SEBI (Research Analysts) Regulations, 2014 and SEBI Investor Charter norms: (1) Turnaround Time: A Research Analyst is legally obligated to redress investor grievances promptly, and not later than twenty-one (21) calendar days from the date of receipt of the complaint. (2) Escalation Recourse: If the complaint remains unaddressed, the investor can file a grievance on SEBI's SCORES 2.0 portal (reviewed by RAASB and SEBI). If dissatisfied with market participant resolution, the investor can submit the dispute to the SMARTODR platform for online mediation, conciliation, or binding arbitration. This tests dispute resolution procedures. The common trap is confusing 21 calendar days with older 30-day norms.

Why the others fail

A — Redress grievances within 10 years; no online dispute resolution mechanism exists in India.

A 10-year resolution window is non-compliant; SEBI strictly enforces a 21 calendar day redressal deadline, backed by SMARTODR.

B — Redress grievances within 2 hours by paying cash fines to the stock exchange clearing bank.

2 hours is an operational impossibility for formal dispute investigation, and penalties are not paid to clearing banks.

C — Research analysts are exempt from all investor grievance handling obligations under SEBI regulations.

Research analysts are fully accountable under SEBI investor protection regulations to maintain structured grievance handling systems.