sebi:VKV/AS/AO-12/2018

SEBI · SEBI · 2017-08-11 · Vijayant Kumar Verma, Adjudicating Officer

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Facts / Headnote

Penalty of ₹4,00,000 imposed on the Noticee under Sections 15C and 15HB of the SEBI Act, 1992

Provisions invoked

• s. 15I
• s. 15J
• s. 15
• s. 15C

Parties

• M/s Malvika Steels Ltd.

Holding

The Noticee, a listed company, failed to obtain SCORES authentication and failed to resolve 13 pending investor grievances despite SEBI's directives, and is therefore liable for a monetary penalty of ₹4,00,000 under Sections 15C and 15HB of the SEBI Act, 1992.

Full text

Adjudication Order against M/s Malvika Steels Ltd. February 5, 2018 Page 2 of 5 by Adjudicating Officer) Rules, 1995 (hereinafter referred to as “Adjudication Rules”) to enquire into and adjudge under section 15C and 15HB of Securities and Exchange Board of India, Act, 1992 (hereinafter referred to as "SEBI Act, 1992”) for the alleged violations committed by the Noticee.

Adjudication Order against M/s Malvika Steels Ltd. February 5, 2018 Page 3 of 5 submitting the details for authentication as required by the Circular, the Noticee did not obtain the user id and password which was essential for accessing the complaints pertaining to the Noticee, as uploaded on the SCORES for redressing the investors grievances and subsequent redressal thereof. Vide letters dated November 14, 2011 and January 18, 2012 the Noticee was once again advised to obtain the SCORES authentication. However, the Noticee failed to obtain the SCORES authentication. From the SCN I also note that the Noticee did not resolve 13 (Thirteen) investor grievances pending against it as on the date of SCN. Subsequently, SEBI has also confirmed that the Noticee had not obtained SCORES authentication till date and had not resolved the pending investor grievances (as mentioned in the SCN).

Adjudication Order against M/s Malvika Steels Ltd. February 5, 2018 Page 4 of 5 such company or intermediary shall be liable to a penalty of one lakh rupees for each day during which such failure continues or one crore rupees, whichever is less.”

Source: SecMarx — sebi:VKV/AS/AO-12/2018. 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.