The tribunal's order, dated November 14, 2019, had come in a case related to investor complaints that were not resolved.
Sebi had moved the court against the order, which had come on an appeal filed by Ashok Dayabhai Shah and others.
"May be there was some remiss on the part of Sebi to act as a regulator, but casting aspersion was not warranted in the facts and circumstances of the case. As such, the adverse observations... are hereby diluted," the apex court said in its order dated January 27.
Citing observations of the tribunal, the apex court said that "we are of the opinion certain observations made in ... the impugned order were not called for."
The court's order has been uploaded on the Sebi website.
Passing the order in the matter last year, the tribunal said "such computer generated disposal of a serious complaint speaks volume on the conduct of the respondents".
Sebi, National Stock Exchange and Calcutta Stock Exchange, were among the respondents.
Further, the tribunal had said it "fails to fathom as to why the complaint could not have been decided unless Sebi officials had a vested interest in not deciding the matter".
Referring to the tribunal's observations, the court said, "we are of the opinion that certain observations made in... the impugned order were not called for, such as 'the computer generated disposal of a serious complaint speaks volume on the conduct of the respondents' as well as the part of the order relating to 'vested interest in not deciding the matter' were not at all called for".
In the January 27 order, the court has also asked Sebi to to deal with the complaints positively and objectively within four months from today.
Ashok Dayabhai Shah and others had moved Sebi seeking action against certain alleged violations by Bharat Nidhi Ltd, PNB Finance and Industries Ltd and Camac Commercial Company Ltd. SRS RAM RAM