sebi:AO/SBM/EAD/105/2018
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Facts / Headnote
Penalty imposed on Noticee for failure to obtain SCORES authentication
Provisions invoked
- s. 15
- s. 15H
- s. 15I
- s. 15J
Parties
- Pesticides and Brewers Limited (now known as PB Global Limited)
Holding
The Noticee, Pesticides and Brewers Limited (now PB Global Limited), is liable for penalty under section 15HB of the SEBI Act for failing to obtain SCORES authentication within the stipulated time period as required by SEBI circulars. A penalty of Rs. 1,00,000/- was imposed on the Noticee.
Full text
Page 2 of 7 2. It was observed by SEBI that Pesticides and Brewers Limited (hereinafter referred to as ‘Noticee’/‘Company’) had failed to obtain the SCORES authentication within the stipulated time period and thereby alleged to have violated SEBI Circulars No. CIR/OIAE/2/2011 dated June 03, 2011, CIR/OIAE/1/2012 dated August 13, 2012, CIR/OIAE/1/2013 dated April 17, 2013 and CIR/OIAE/1/2014 dated December 18, 2014. Therefore, adjudication proceedings have been initiated against the Noticee under the provisions of section 15HB of the SEBI Act, 1992 (hereinafter referred to as ‘SEBI Act’). As per the information made available, the shares of the Company were listed on the Bombay Stock Exchange (BSE). The Company is presently known as PB Global Limited.
Page 3 of 7 5. In the interest of natural justice and in terms of Rule 4(3) of the Adjudication Rules, Noticee was provided with an opportunity of hearing on January 02, 2018. Mrs. Yashashree Ukidave appeared as the Authorized Representative (hereinafter referred to as ‘AR’) on behalf of the Noticee and reiterated the
Page 4 of 7 observations of Hon’ble SAT in the matter of Acalta Trading Co. Ltd. vs. SEBI (decided on 20.12.2016) - " ….. Appellant company being a listed company was bound to comply with the direction issued by SEBI from time to time. It was obligatory on part of the appellant to redress the investors’ grievances within the stipulated time after obtaining SCORES authentication as per the repeated circulars issued by SEBI. Inspite of the letter addressed by SEBI on December 2, 2013 in that behalf the appellant had failed to do the needful. It is on record that the appellant had applied for SCORES authentication only on June 12, 2014 and the authentication was granted on June 13, 2014. Various reasons given by the appellant for not complying with the directions of SEBI within the stipulated time and the fact that the investors’ grievances have been redressed before the issuance of the show cause notice, do not obliterate the violations of the law committed prior to issuance of the show cause notice .
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Source: SecMarx — sebi:AO/SBM/EAD/105/2018. 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.