New Delhi: In a significant step toward strengthening investor confidence in the capital markets, the Securities and Exchange Board of India (SEBI) has reported notable progress in its grievance redressal mechanism. According to the regulator’s latest data, more than 5,500 investor complaints were resolved through the SEBI Complaints Redress System (SCORES) during May 2026. The regulator also recorded a substantial decline in the number of pending complaints.
Complaint Backlog Declines
Data released by SEBI showed that 4,918 fresh complaints were received during May, while 5,548 complaints were successfully resolved during the same period. As the number of resolved cases exceeded new complaints, the overall backlog declined. Pending complaints stood at 5,537 as of May 31, 2026, compared with 6,167 at the end of April.
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According to the regulator, improvements in digital processes have helped accelerate complaint resolution. The faster disposal of investor grievances is being viewed as an important step toward enhancing transparency, accountability, and trust in India’s capital markets.
The figures also indicate that complaints pending for more than three months have been reduced to a very small number. At the end of May, only 10 such cases remained outstanding, involving a handful of market entities. This suggests that most complaints are now being addressed within the prescribed timelines.
SCORES 2.0 Speeds Up Process
SEBI further stated that listed companies and other market intermediaries took an average of five days during April to submit Action Taken Reports (ATRs) in response to investor complaints. First-level review cases, meanwhile, were resolved in an average of eight days, highlighting the growing efficiency of the grievance redressal framework.
Under the SCORES 2.0 system, complaints are automatically forwarded to the concerned entity once they are filed. The entity is required to provide an Action Taken Report to the investor within 21 days. If the investor is dissatisfied with the response, a request for a first-level review can be submitted within 15 days.
During the first-level review process, a designated body examines the complaint and issues its own Action Taken Report. If the investor remains dissatisfied, a second-level review may be sought within the next 15 days. In such cases, SEBI directly examines the matter and issues the final Action Taken Report.
Investor Confidence Focus
Market experts believe that an effective grievance redressal mechanism plays a crucial role in strengthening investor confidence. With retail participation in capital markets continuing to expand, timely complaint resolution remains one of the most important pillars of investor protection.
SEBI also clarified that some complaints may appear as pending even after the concerned entities have submitted their Action Taken Reports within the stipulated timeline. Such complaints remain open to provide investors with an opportunity to seek a review. Additionally, complaints for which investors opt for the Online Dispute Resolution (ODR) mechanism are also considered resolved.
Pendency Reduction Continues
The May 2026 data suggests that SEBI’s efforts to improve complaint resolution efficiency and reduce pendency are beginning to yield tangible results. The development is expected to further strengthen investor protection and enhance confidence in the country’s capital market ecosystem.
