sebi:Order/AP/VS/2020-21/9273

SEBI · SEBI · 2019-05-14 · Amit Pradhan, Adjudicating Officer

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Facts / Headnote

Penalty imposed on Noticee

Provisions invoked

• s. 15A
• s. 15
• s. 15I
• s. 15J
• s. 15F
• s. 28A

Regulations

• Reg. 13
• Reg. 13(5)
• Reg. 12

Parties

• Mr. Subramanian

Holding

The Noticee, Mr. Subramanian, a promoter of Seshasayee Paper and Boards Limited, failed to disclose changes in his shareholding of 4500 shares valued at ₹8,19,750/- to the company and stock exchanges as required under regulation 13(4A) read with regulation 13(5) of PIT Regulations, 1992, read with regulation 12 of PIT Regulations, 2015, and a monetary penalty of ₹1,00,000/- was imposed under section 15A(b) of the SEBI Act.

Full text

Adjudication Order in respect of Mr. Subramanian in the matter of Seshasayee Paper and Boards Limited Page 2 of 7 5. Pursuant to above, the competent authority in SEBI was satisfied that there are sufficient grounds to inquire into the affairs and adjudicate upon the alleged violation of regulation 13(4A) read with regulation 13(5) of PIT Regulations, 1992, read with regulation 12 of PIT Regulations, 2015. Vide a communication-order dated May 14, 2019, the competent authority had appointed Mr. Santosh Shukla, CGM, as Adjudicating Officer (“erstwhile AO”) under section 15-I of Securities and Exchange Board of India Act, 1992 (hereinafter referred to as ‘SEBI Act’) and rule 3 of SEBI (Procedure for Holding Inquiry and Imposing Penalties) Rules, 1995 (hereinafter referred to as ‘SEBI Adjudication Rules’) to inquire into and adjudge under section of 15A(b) of the SEBI Act, 1992 for the aforesaid alleged violations. Subsequently, by a communication-order dated January 07, 2020, this case has been transferred to the undersigned with an advise that except for the change of the Adjudicating Officer the other terms and conditions of the original orders ‘shall remain unchanged and shall be in full force and effect’ and that the “Adjudicating Officer shall proceed in accordance with the terms of reference made in the original orders”. The relevant provisions of the PIT Regulations charged in this case against the Noticees are reproduced as follows: PIT Regulations, 1992 Disclosure of in

Adjudication Order in respect of Mr. Subramanian in the matter of Seshasayee Paper and Boards Limited Page 3 of 7 (a) the previous operation of the repealed regulations or anything duly done or suffered thereunder, any right, privilege, obligation or liability acquired, accrued or incurred under the repealed regulations, any penalty, forfeiture or punishment incurred in respect of any offence committed against the repealed regulations, or any investigation, legal proceeding or remedy in respect of any such right, privilege, obligation, liability, penalty, forfeiture or punishment as aforesaid, shall remain unaffected as if the repealed regulations had never been repealed; and (b) anything done or any action taken or purported to have been done or taken including any adjudication, enquiry or investigation commenced or show-cause notice issued under the repealed regulations prior to such repeal, shall be deemed to have been done or taken under the corresponding provisions of these regulations; (3) After the repeal of Securities and Exchange Board of India (Prohibition of Insider Trading) Regulations, 1992, any reference thereto in any other regulations made, guidelines or circulars issued thereunder by the Board shall be deemed to be a reference to the corresponding provisions of these regulations.

Adjudication Order in respect of Mr. Subramanian in the matter of Seshasayee Paper and Boards Limited Page 4 of 7 circumstances of this case, I am of the view that the Noticee has nothing to submit and in terms of rule 4(7) of the Adjudication Rules the matter can be proceeded ex-parte on the basis of material available on record.

Source: SecMarx — sebi:Order/AP/VS/2020-21/9273. 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.