sebi:AO/SBM-ASR/EAD-3/04/2015
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Facts / Headnote
Penalty imposed of Rs. 1,00,000/- on the Noticee for violation of Section 15C of the SEBI Act, 1992
Provisions invoked
- s. 24
- s. 15
- s. 15C
Parties
- Jaipan Industries Limited
Holding
The Noticee, Jaipan Industries Limited, was held liable for violating Section 15C of the SEBI Act by failing to redress three pending investor complaints within the time frame specified by SEBI, and a penalty of Rs. 1,00,000/- was imposed.
Full text
Page 2 of 10 APPOINTMENT OF ADJUDICATING OFFICER 2. Shri D. Ravikumar was appointed as Adjudicating Officer ( AO), vide Order dated May 10, 2013 under Section 15-I of the Securities and Exchange Board of India Act, 1992 (hereinafter referred to as 'SEBI Act') read with Rule 3 of SEBI (Procedure for Holding Inquiry and Imposing Penalties by Adjudicating Officer) Rules, 1995 (hereinafter referred to as ‘Adjudication Rules’) to inquire into and adjudge under the provisions of Section 15C of the SEBI Act for the alleged failure on the part of the Noticee to redress the three investor complaints pending against it. Consequent upon the transfer of Shri D. Ravikumar, I have been appointed as the Adjudicating Officer vide Order dated June 22, 2015.
Page 3 of 10 the Noticee that out of the three pending investor complaints, two complaints were received from Shri Sunil Kumar Tulsyan and Anjana Tulsyan, residing at C 47, Ganga Society, Sane Guruji Nagar, Mulund, Mumbai and treated as a common complaint for the purpose of these proceedings, as the subject matter of their complaint and the address of the complainants were the same. The Complainants viz. Shri Sunil Kumar Tulsyan and Anjana Tulsyan had alleged that they have not received any dividend, bonus and Annual Reports from the Noticee. The third complaint against the Noticee was received from Shri. Girdhardas A Dammani regarding non-receipt of twelve share certificates, which the complainant had apparently sent to the Noticee’s address on October 29, 2007 with a request for issue of fresh share certificates after the sub-division of shares. It was noted that the complaint of Shri Dammani was sent from his email ID to the official email ID of the Noticee and against the relevant field in the SCORES database denoting address details of the complainant, it was mentioned as “No Add”, as the address details of Shri Dammani was not available in SCORES. c. In view of the above, it was alleged in the SCN that the Noticee had failed to redress the three investor complaints within the time frame specified by SEBI and thereby violated the provisions of Section 15C of the SEBI Act.
Page 4 of 10 Noticee, it was mentioned in the reply furnished by the Noticee that they have not declared any dividend or bonus during the last few years. b. In respect of the complaint of Shri Dammani, the Noticee in their reply enclosed a copy of the email dated August 05, 2013, which they had sent to the email ID of Shri Dammani viz. gokulesh_dammani@rediffmail.com. The Noticee claimed that they have not received the 12 original share certificates purportedly sent to their address by Shri Dammani on October 29, 2007. In this regard, vide the email dated August 5, 2013, the Noticee had sought from Shri Dammani the details of the postal acknowledgment regarding the dispatch of the 12 Original Share Certificates, which was sent to the Noticee’s address. The Noticee further submitted that they have sent the email twice to Shri Dammani’s ID earlier seeking the details of the postal acknowledgement from him regarding the dispatch of the original share certificates. It was also mentioned by the Noticee that the email ID of Shri Dammani was their only source of contact with the complainant and other contact details of the complainant were not available with them. It was however mentioned by the Noticee through the SCORES – ATR that there was no response from Shri Damanni to the emails sent to his email ID by the Noticee.
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Source: SecMarx — sebi:AO/SBM-ASR/EAD-3/04/2015. 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.