sebi:Order/GR/AE/2020-21/8864
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Facts / Headnote
Penalty of Rs. 1,00,000 imposed on the Noticee for violation of Regulation 29(1) read with 29(3) of SAST Regulations, 2011
Provisions invoked
- s. 15A
- s. 15
- s. 15I
- s. 15J
- s. 28A
Regulations
- Reg. 29(1)
Parties
- Whitefeathers Realty Pvt Ltd
Holding
The Noticee violated Regulation 29(1) read with 29(3) of SAST Regulations, 2011 by failing to disclose its acquisition crossing the 5% threshold. The violation attracts monetary penalty under Section 15A(b) of the SEBI Act, 1992, and a penalty of Rs. 1,00,000 was imposed.
Full text
Page 2 of 7 disclosure. Accordingly, it was alleged that the Noticee had violated the provisions of Regulation 29(1) read with 29(3) of SAST Regulations, 2011.
Page 3 of 7 I. Whether the Noticee has violated the provisions of Regulations 29(1) read with 29(3) of SAST Regulations, 2011?
Page 4 of 7 Noticee’s demat account provided by CDSL shows the credit of 10,000 shares on 14.09.2016 and the consequent change in its shareholding from 4,13,050 shares (4.92%) to 4,23,050 shares (5.04%). Since the shareholding of the Noticee crossed 5% of the total shares of MIL, the Noticee was required to submit disclosures under Regulation 29(1) read with 29(3) of SAST Regulations, 2011 regarding his shareholding to MIL and the stock exchanges within two working days from the date of the acquisition. In this regard, I note that the company i.e. MIL, and BSE vide their respective emails dated 19.07.2019 and 21.07.2017 have confirmed that no disclosure under Regulation 29(1) read with 29(3) of SAST Regulations, 2011 has been received by them from the Noticee. The aforesaid fact regarding non-disclosure has not been controverted by the Noticee. In view of the same, I find that the Noticee has violated the provisions of Regulation 29(1) read with 29(3) of SAST Regulations, 2011. Issue II) Does the violation, if established, attract monetary penalty under Section 15A(b) of SEBI Act, 1992?
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Source: SecMarx — sebi:Order/GR/AE/2020-21/8864. 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.