sebi:SO/SM/DD/2020-21/6270

SEBI · SEBI · 2020-12-31 · Soma Majumder, Adjudicating Officer

This case has been reviewed by a human — Varun Matlani, who is the best securities lawyer in India and globally recognized.

Facts / Headnote

Adjudication proceedings disposed of pursuant to settlement

Provisions invoked

• s. 15J

Regulations

• Reg. 25
• Reg. 28
• Reg. 23(1)
• Reg. 7(2)
• Reg. 3(1)

Parties

• DTIL

Holding

The adjudication proceedings initiated against DTIL vide SCN dated September 11, 2020 are disposed of in terms of section 15JB of the SEBI Act read with regulation 23(1) of the Settlement Regulations on the basis of the settlement terms, upon payment of Rs. 8,20,782/-.

Full text

was appointed as the AO in the said matter by SEBI vide Communiqué dated December 31, 2020. 3. In this regard, a Show Cause Notice ref.no. EAD/ADJ/BJD/AB/OW/15032/2/2020 dated September 11, 2020 (hereinafter referred to as ‘SCN’) was issued to the Noticee. The observations and allegations levelled against the Noticee in the aforesaid SCN are given hereunder in brief:

considered the settlement terms proposed and recommended that the case may be settled upon upon payment of Rs. 8,20,782/-(Rupees Eight Lakh Twenty Thousand Seven Hundred Eighty Two only) by the applicant as settlement amount towards the settlement terms.

a) It was observed that there were certain transactions in the nature of invocation of pledge done by DMDVPL and WCA in the scrip of DTIL wherein there was a delay in making necessary disclosures to the exchanges by the Noticee. As DTIL had informed SEBI about the transactions of DMDVPL and WCA vide letters dated May 15, 2019 and May 23, 2019, it was observed that the Noticee was aware of the transactions of DMDVPL and WCA at least on May 15, 2019 and May 23, 2019 respectively. As per Regulation 7(2) (b) of SEBI PIT Regulations, the Noticee should have notified the transactions of invocation of pledge to the exchanges within two trading days from becoming aware of the said information i.e. on or before May 17, 2019 and May 27, 2019. However, it was observed that the Noticee notified these disclosures to the exchanges only on August 01, 2019, thereby resulting in a delay of 66 days and 76 days.

Source: SecMarx — sebi:SO/SM/DD/2020-21/6270. 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.