sebi:CO/251/IGG/10/2002

SEBI · SEBI · 2002-04-03 · G. N. BAJPAI, Chairman

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Facts / Headnote

Direction to redress pending investor grievances within one month, failing which prosecution and debarment to follow without further notice

Provisions invoked

• s. 11B
• s. 73
• s. 621

Regulations

• Reg. 30A

Parties

• Dharnendra Overseas Limited
• Directors of Dharnendra Overseas Limited

Holding

SEBI directed Dharnendra Overseas Ltd. to redress all pending investor grievances within one month from the date of the order, failing which SEBI would initiate prosecution and debar DOL/its directors from the capital market for 5 years without further notice.

Full text

Home » Enforcement » Orders » Orders of Chairman/Members Enforcement Enforcement▼ Order against Dharnendra Overseas Limited Oct 14, 2002 | Orders : Orders of Chairman/Members CO/251/IGG/10/2002 SECURITIES AND EXCHANGE BOARD OF INDIADIRECTIONS UNDER SECTION 11B OF THE SEBI ACT, 1992 TO DHARNENDRA OVERSEAS LTD., AHMEDABAD & ITS DIRECTORS Securities and Exchange Board of India (SEBI) has received several complaints from investors against Dharnendra Overseas Limited (hereinafter referred to as DOL) over a period of time. The same were forwarded to DOL for redressal. As on September 30, 2002, DOL has a total of 130 investor grievances pending against it. On failure to redress the pending investor grievances by DOL, SEBI vide letter dated April 3, 2002 advised DOL to meet SEBI's officials in connection with redressal of investor's grievances pending against it. However, DOL failed to remain present. Subsequently, SEBI vide letter dated May 24, 2002 called upon DOL to show cause as to why appropriate action/proceedings under 17424 24 9 1. 2. 3. 4. 5. 6. 7. 1

Sections 11B & 27 of SEBI Act, 1992 read with Section 621 of the Companies Act, 1956 should not be initiated against DOL for the alleged violation of the provisions of Section 73 and 113 of the Companies Act, 1956. However, till date SEBI has not received any reply to the show cause notice from DOL. Now, therefore, in exercise of the powers conferred upon me under Section 11B of the SEBI Act, 1992, I hereby direct DOL to redress the investor's grievances pending against DOL within a period of one month from the date of this order failing of which SEBI would be constrained to initiate actions as under without giving any further notice:

1. Prosecution under Section 621 of the Companies Act, 1956 for the alleged violation of the provisions of Section 73 and 113 of the aforesaid Act. 2. DOL/its directors would be debarred from dealing in and/or accessing the capital market for a period of 5 years. Place : Mumbai         Date : October 14 , 2002  G. N. BAJPAI Chairman Securities and Exchange Board of India  Orders Orders of SAT Orders of Chairperson/ Members Settlement Order Orders of AA under the RTI Act Orders of Corporatisation / Demutualisation Scheme Orders of AO Orders of Courts Orders Of Special Courts Orders of ED / CGM (Quasi- Judicial Authorities) Orders under Regulation 30A of the SEBI (Intermediaries) Regulations, 2008 Informal Guidance Clarifications on Insider Trading Orders That Could Not be Served Unserved Summons / Notices Recovery Proceedings Auction Notice under Recovery Proceedings Enforcement

Source: SecMarx — sebi:CO/251/IGG/10/2002. 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.