sebi:Order/SM/S./2022-23/24153-24155
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Facts / Headnote
The order finds established that Noticee 1, with the assistance of promoter-group entities, indirectly funded the preferential-share subscriptions and thereby created a misleading impression of genuine capital infusion, in violation of the cited PFUTP provisions and SEBI Act. The excerpt does not disclose the final penalty determination or the complete disposition of all charges.
Provisions invoked
- s. 15
- s. 12A
- s. 15H
- s. 12
- s. 15J
- s. 28A
- s. 23I
- s. 21
- s. 24
- s. 23E
- s. 23A
- s. 67
- s. 24(1)
- s. 127
- s. 67(2)
Regulations
- Reg. 3
- Reg. 2(1)(c)
- Reg. 4(1)
- Reg. 2(1)
- Reg. 4(2)(f)
- Reg. 29(1)
- Reg. 2(c)
- Reg. 3(a)
- Reg. 29(3)
- Reg. 2(1)(b)
- Reg. 31A
- Reg. 31(1)
- Reg. 2(1)(c)(7)
- Reg. 2(2)
- Reg. 73(1)(e)
- Reg. 31A(3)(a)
- Reg. 31A(8)
- Reg. 97
Parties
- BFL Asset Finvest Ltd (formerly BFL Developers) (Noticee 1)
- Baid Leasing and Finance Company Ltd (Noticee 2)
- Dream Finhold Pvt Ltd (Noticee 3)
Holding
The adjudicating officer held that Noticee 1 indirectly funded the allottees’ preferential-share subscriptions through promoter-group entities, creating a misleading impression of genuine capital infusion, and found the alleged PFUTP and SEBI Act violations by Noticee 1 established. The excerpt also finds that Futuristic Prime Developers Pvt Ltd was part of BFL-2’s promoter group, but does not provide the final penalty or complete determinations on the remaining charges.
Full text
Adjudication Order in the matter of BFL Asset Finvest Ltd-Case II Page 2 of 52 “PFUTP Regulations”), SEBI (Issue of Capital And Disclosure Requirements) Regulations, 2009 (hereinafter referred to as “ICDR Regulations”) and SEBI (Listing Obligations and Disclosure Requirements) Regulation, 2015 (hereinafter referred to as “LODR Regulations”) by Noticees in respect of the company. Thereafter, SEBI initiated adjudication proceedings against Noticees.
Adjudication Order in the matter of BFL Asset Finvest Ltd-Case II Page 3 of 52 29(3) of SAST Regulations by Dream Finhold Pvt Ltd (hereinafter referred to as ‘Noticee 3/by name’);
Adjudication Order in the matter of BFL Asset Finvest Ltd-Case II Page 4 of 52 d) Therefore, it is alleged that Noticee 2 had funded both the allottees directly and through Jaisukh Developers Pvt Ltd for the entire subscription amount payable by them.
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Source: SecMarx — sebi:Order/SM/S./2022-23/24153-24155. 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.