Sebi slaps Rs 25 lakh fine on Sheen Agro’s directors

By: |
June 30, 2020 5:42 PM

During the probe, the regulator found that Sheen Agro was mobilizing fresh funds after filing winding up and repayment report (WRR) in October 2003, which was in non-compliance of CIS norms.

The regulator had conducted a probe in fund mobilization by Sheen Agro.The regulator had conducted a probe in fund mobilization by Sheen Agro.

Markets regulator Sebi has imposed a fine of Rs 25 lakh on nine directors of Sheen Agro & Plantation Ltd for mobilizing fresh funds through unregistered collective investment scheme (CIS) even after filing winding up report with the markets regulator.

Angrez Singh Bhadwal, Surinder Kumar Trilokia, Naseeb Singh Pawar, Kamal Singh Bhau, Sudershan Singh Jamwal, Ajeet Lal Sharma, Kripal Singh, Yograj Singh Bhau and Tej Pal Singh are the directors on whom the fine has been imposed.

The regulator had conducted a probe in fund mobilization by Sheen Agro. During the probe, the regulator found that Sheen Agro was mobilizing fresh funds after filing winding up and repayment report (WRR) in October 2003, which was in non-compliance of CIS norms.

The nine directors are instrumental in Sheen Agro mobilizing funds even after filing winding up report with Sebi, and their actions were in contravention of the CIS Regulations, the regulator said in an order on Monday.

Mobilizing funds through an unregistered CIS is certainly a serious violation which affects interest of gullible investors at large, as there is scope of investors losing their hard earned money, the Securities and Exchange Board of India (Sebi) said.

Accordingly, the regulator levied a fine of Rs 25 lakh, to be paid jointly and severally by the directors.

Get live Stock Prices from BSE, NSE, US Market and latest NAV, portfolio of Mutual Funds, calculate your tax by Income Tax Calculator, know market’s Top Gainers, Top Losers & Best Equity Funds. Like us on Facebook and follow us on Twitter.

Financial Express is now on Telegram. Click here to join our channel and stay updated with the latest Biz news and updates.

Next Stories
1Equitas SFB IPO fully subscribed on day-3; QIBs bid nearly 4 times but grey market premium missing
2FIIs hike RIL stake to all-time high, now hold over 25% share in Mukesh Ambani firm
3Vedanta shareholders eye bonanza, board to consider interim dividend after failed delisting