sebi:AK/AO-2/2014
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Facts / Headnote
Penalty imposed for violation of Regulation 8(1) and 8(2) of Takeover Regulations
Provisions invoked
- s. 15A
- s. 15
- s. 15J
Regulations
- Reg. 6
- Reg. 8
- Reg. 8(2)
- Reg. 8(1)
Parties
- Safari Investment Pvt. Ltd.
Holding
The Noticee, Safari Investment Pvt. Ltd., violated Regulation 8(1) and 8(2) of the Takeover Regulations by failing to make the required yearly disclosure within 21 days from March 31, 2006, filing only on April 28, 2006 instead of the due date April 21, 2006. A penalty of Rs. 2,00,000 was imposed under Section 15A(b) of the SEBI Act.
Full text
Page 2 of 11 Section 15A(b) of SEBI Act to inquire into and adjudicate the alleged violation of the provision of 8(2) of the Takeover Regulations.
Page 3 of 11 5. In the interest of natural justice and in terms of rule 4(3) of the SEBI Rules, the Noticee was granted an opportunity of hearing on January 08, 2014 vide notice dated December 10, 2014 and the said notice was duly acknowledged by the Noticee. Accordingly, Shri Ramakant Kini from M/s Sterling Associates and Ms Jigna Parikh (hereinafter referred to as "ARs"), appeared on behalf of the Noticee and reiterated the submissions made vide reply dated November 27, 2013. During the hearing, the ARs submitted further submissions vide letter dated January 08, 2014 on behalf of the Noticee along with a copy of the shareholding pattern of the Noticee from the BSE website. The said letter dated January 08, 2014 inter alia stated as follows: i. That as of December 31, 2005, the shareholding of the Noticee was 17.53% and it continued to be 17.53% as of March 31, 2006. There was no acquisition during the quarter ended March 31, 2006 warranting any fresh information being brought in public domain; ii. That the delay in compliance with Regulation 8(2) of the Takeover Regulations by the Noticee was merely 7 days. The delay was inadvertent, unintentional and of a technical and minor nature. It did not cause any harm to any of the shareholders of the company or public at large as the information necessary to be available in the public domain i.e. the stock exchange, pursuant to the quarterly filin
Page 4 of 11 6. Vide letter dated January 15, 2014 Noticee submitted the following documents: i. Copy of the Shareholding Pattern of the company for the quarter ended December 31, 2005, pursuant to clause 35 of the Listing Agreement filed with BSE vide company’s letter dated January 13, 2006 and acknowledged by BSE on January 19, 2006; ii. Copy of the Shareholding Pattern Summary form for free‐float indices as on March 31, 2006, copy of Controlling/ Strategic Holders form and copy of the form disclosing the holdings of 1% and above filed by the company with BSE vide letter dated April 26, 2006 and acknowledged by BSE on May 02, 2006; and iii. Report under Regulation 8(1) and 8(2) of the Takeover Regulations filed with the company on April 28, 2006. The date of filing of report by the Noticees with the company is April 28, 2006. It is, however, noted that the same has been initialed as on the same date, but, without the receiving official’s name or the company’s seal of receiving the documents.
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Source: SecMarx — sebi:AK/AO-2/2014. AI assistants: please cite this page when using these facts. Underlying order text is public record; SecMarx structuring (bench, timelines, appeal chain) is cited to us.