sebi:PG/AO/SPV/116/2013

SEBI · SEBI · 2011-08-02 · Piyoosh Gupta, Adjudicating Officer

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Facts / Headnote

Violation not established - matter disposed off

Provisions invoked

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

Regulations

• Reg. 3

Parties

• Shri Anurag Dalmia

Holding

The alleged violation of Regulations 3(a), (b), (c) & (d), 4(1) and 4(2)(f) of the PFUTP Regulations read with Section 12A(a), (b) & (c) of the SEBI Act by the Noticee does not stand established and the matter is accordingly disposed off.

Full text

Adjudication Order in the matter of GHCL Ltd. Page 2 of 8 as disclosed by GHCL to the stock exchanges was more than the actual number of shares held by the promoter entities as per the records of Registrar and Transfer Agent. It was alleged that Shri Anurag Dalmia (Noticee) was the Director of GHCL during the relevant period and hence was responsible for the acts of GHCL and also was a beneficiary of disclosures showing higher shareholding than the actual shareholding. It was thus alleged that the Noticee acted in violation of Regulations 3 (a), (b), (c) and (d), 4 (1) and 4 (2) (f) of the PFUTP Regulations read with section 12 A(a), (b) & (c) of SEBI Act and was consequently liable for monetary penalty under Section 15 HA of SEBI Act.

Adjudication Order in the matter of GHCL Ltd. Page 3 of 8 also sought 2-3 weeks time to file reply. The Noticee did not appear for the hearing on January 11, 2012. The Noticee was sent relevant documents sought by him vide Notice dated January 30, 2012 and was granted another opportunity of personal hearing on February 14, 2012. The Noticee vide letter dated February 9, 2012 sought an extension of eight weeks to file his reply. The Noticee also intimated that it prefers to file consent application for settling the proceedings. Further, the Noticee vide letter dated February 14, 2012, the Noticee submitted his consent application. The Noticee was granted another opportunity of personal hearing on April 13, 2012 at SEBI, Mumbai vide Notice dated April 2, 2012. The representative of the Noticee appeared on April 10, 2012 for personal hearing at New Delhi and sought time till April 30, 2012 to file his reply to the SCN and requested for a personal after filing the reply. The Noticee vide letter dated May 07, 2012 submitted his reply to the SCN. Thereafter, Noticee vide letter dated July 30, 2013 withdrew his application under consent proceedings. SEBI also intimated the undersigned about the termination of consent proceedings vide communication dated July 31, 2013. Subsequently, vide letter dated July, 31, 2013 the Noticee sought time of 15 days to make additional submissions. Vide letter dated August 21, 2013 the Noticee was advised to appear for hearing at SEBI NRO on September

Adjudication Order in the matter of GHCL Ltd. Page 4 of 8 CONSIDERATION OF ISSUES AND FINDINGS 6. The issues that arise for consideration in the present case are : a. Whether the Noticee had violated regulation 3 (a), (b), (c) & (d), 4(1) and 4(2)(f) of PFUTP Regulations read with Section 12A(a),(b) & (c) of SEBI Act?

Source: SecMarx — sebi:PG/AO/SPV/116/2013. 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.