Sebi orders Onelife to refund diverted IPO money in 6 mths

Written by Press Trust of India | Mumbai | Updated: Aug 31 2013, 14:56pm hrs
In a first of its kind order, Sebi on Friday asked financial services firm Onelife Capital Advisors and its chief to refund over R35 crore, which was raised through an IPO but fraudulently diverted to other entities, within six months to the company.

An investigation conducted by Sebi into deployment of funds raised through this IPO found that the company had diverted R35.25 crore worth of proceeds to three entities for purposes other than those stated as the objects of the IPO. The company had raised R36.85 crore through this IPO in September 2011. In a 54-page order, Sebi asked Onelife and its MD Pandoo P Naig to bring back R35.25 crore, the diverted IPO proceeds, into the company from Fincare, Precise and KPT within six months. Both of them have been barred from from dealing in securities markets, directly or indirectly, for a period of three years. Onelifes five directors T K P Naig, D C Parikh, A P Shukla, T S Raghavan and T Shirdharani have also been barred from taking up any assignments as directors in any company for one year, Sebi said.