sebi:Order/MC/RM/2022-23/16101

SEBI · SEBI · 2019-11-29 · Maninder Cheema, Adjudicating Officer

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Facts / Headnote

Violation found; penalty imposed (amount not specified in extract)

Provisions invoked

• s. 15
• s. 12A
• s. 15H
• s. 15I
• s. 15J

Regulations

• Reg. 3
• Reg. 3(a)

Parties

• Uma Karthikeyan

Holding

The Noticee, as Whole Time Director-Director Finance and member of the Audit Committee of Sanraa Media Limited, was held to have violated Section 12A(a), (b) and (c) of the SEBI Act read with Regulations 3(a), (b), (c), (d) and 4(1) of the PFUTP Regulations by approving the board resolution that enabled the fraudulent GDR issue and subscription scheme.

Full text

Adjudication Order against Uma Karthikeyan in the matter of Sanraa Media Limited Page 2 of 25 3. Order dated November 29, 2019 was passed in the matter imposing penalty of Rs.1 Crore to be paid jointly and severally by the Noticee along with 4 other persons for violating Sections 12A(a), (b),(c) of the SEBI Act read with Regulations 3 (a), (b), (c), (d) & 4(1) of the PFUTP Regulations. This order was appealed before the Hon’ble Securities Appellate Tribunal (SAT) by the Noticee vide Appeal No. 514 of 2020. Hon’ble SAT vide Order dated May 19, 2021 remitted the matter to AO as given hereunder: “11. We are also satisfied that in view of the aforesaid, the show cause notice was never served upon the appellant nor was the appellant aware of the date of hearing and therefore the proceedings proceeded ex parte which was in violation of the principles of the natural justice. The impugned orders cannot be sustained and are quashed in so far as it relates to the appellant. Both the appeals are allowed with no order as to costs. The matter is remitted to the AO / WTM to pass a fresh order after serving the show cause notice and after giving an opportunity of hearing and thereafter proceed in accordance with law. In this regard, we direct the appellant to appear personally or through Advocate before the AO and WTM on June 15, 2021 and from there onwards the authority will proceed in accordance with law. In the circumstances of the case parties shall bear their own costs.”

Adjudication Order against Uma Karthikeyan in the matter of Sanraa Media Limited Page 3 of 25 SHOW CAUSE NOTICE, REPLY AND HEARING

Adjudication Order against Uma Karthikeyan in the matter of Sanraa Media Limited Page 4 of 25 Rs. 55/-per share (including Rs. 45/-as premium per share) to The Bank of New York (the Depository) on behalf of the GDR Holders."

Source: SecMarx — sebi:Order/MC/RM/2022-23/16101. 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.