Securities and Exchange Board of India, however, "abated" the proceedings against Aruna Jain, Ashok Jain's mother, as she has died.
Sebi had charged the Jains with violating various provisions under the norms including delay in making yearly disclosures regarding his shareholding to the stock exchanges for the years 2002 to 2011.
Noting that investors were deprived of vital information due to failure on part of Jain, Sebi said in an order dated January 30 that it is imposing "a total monetary penalty of Rs 17 lakhs on the noticee".
"Though it may not be possible to ascertain the monetary loss to the investors on account of default by the noticee, the details of shareholding of the promoter-group and persons in control over TECL (Electric Corporation Ltd) and timely disclosure thereof, were of significant importance from the point of view of investors..." Sebi said in the order.
As per company shareholding with BSE for December quarter 2013, Ashok Jain did not figure as a promoter of the company.
In a separate order on Aruna Jain, who was charged for violating disclosure norms, Sebi said that "the Show Cause Notice was issued to the Noticee on September 4, 2013 and noticee died on February 24, 2006.
"Thus, the proceedings were initiated against the personal acts of omission and commission of a person who is no more to face the charges." It added that the proceedings "are liable to be abated".
Sebi came across the violations by the Jains up on examining a letter of open offer for acquisition of Tumus Electric Corporation shares.
Separately, Sebi has slapped a penalty of Rs 6 lakh on Golden Securities (now known as Golden Goenka Fincrop) for alleged delay in filing requisite disclosures with the stock exchanges on as many as 10 occasions.
The market regulator said that it was "established without doubt that the noticee has violated the provisions of ...the Takeover Regulations pertaining to the financial years 1997 to 2006".
As per the takeover norms, every company has to within 30 days from the financial year ending March 31, make yearly disclosures of its shareholding pattern to all the bourses on
which it listed.