sebi:WTM/AB/IVD/ID2/18060/2022-23
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Facts / Headnote
Final order confirming diversion findings; continuing restraint on Noticee nos. 6 and 7 from securities market for three years or till recovery whichever is later; directing recall/recovery steps already put into motion; imposing monetary penalties under Sections 15HA/15HB of SEBI Act, 1992.
Provisions invoked
- s. 11B
- s. 11(4)
- s. 15
- s. 19
- s. 11(1)
- s. 12A
- s. 21
- s. 11(2)
- s. 11
- s. 15H
- s. 15J
- s. 15F
- s. 23E
- s. 23H
- s. 11B(2)
- s. 12A(1)
- s. 12A(2)
Regulations
- Reg. 3
- Reg. 4(1)
- Reg. 4(2)(f)
- Reg. 3(b)
- Reg. 103
- Reg. 3(d)
- Reg. 4
- Reg. 4(1)(a)
- Reg. 4(2)
- Reg. 18(3)
- Reg. 17(8)
- Reg. 4(2)(f)(i)
- Reg. 33(2)(a)
- Reg. 24(2)
- Reg. 4(3)
Holding
SEBI held that funds were diverted from RFL/REL to promoter-related entities through CLB loans and related transactions, continued debarment of Shri Malvinder Mohan Singh and Shri Shivinder Mohan Singh and imposed penalties while noting recovery steps already initiated.
Full text
Final Order in the matter of Religare Enterprises Ltd. Page 1 of 127 WTM/AB/IVD/ID2/18060/2022-23 SECURITIES AND EXCHANGE BOARD OF INDIA FINAL ORDER
Final Order in the matter of Religare Enterprises Ltd. Page 2 of 127 1. The present proceedings owes its origin to an ad-interim ex-parte interim order dated March 14, 2019 read with corrigendum dated April 18, 2019 (hereinafter both the orders collectively referred to as the ‘Interim Order’), wherein SEBI had issued certain directions against Religare Enterprises Limited (‘REL’), Religare Finvest Limited (‘RFL’), OSPL Infradeal Private Limited (‘OSPL’), Bharat Road Network Limited (‘BRNL’), Platinum Infrastructure Pvt. Ltd, Ad Advertising Pvt. Ltd, Artifice Properties Pvt. Ltd, Best Health Management Pvt. Ltd. (‘Best’), Devera Developers Pvt. Ltd, Vitoba Realtors Pvt. Ltd, Fern Healthcare Pvt. Ltd (‘Fern’), Modland Wears Pvt. Ltd (‘Modland’), Rosestar Marketing Pvt. Ltd, Star Artworks Pvt. Ltd, Tripoli Investment & Trading Co, Volga Management and Consultancy Pvt. Ltd, Zolton Properties Pvt. Ltd, Religare Comtrade Limited, RHC Holding Pvt Ltd (‘RHC Holdings’), Ranchem Pvt. Ltd., ANR Securities, Shivi Holdings Pvt. Ltd, Malav Holdings Pvt. Ltd, Shri Malvinder Mohan Singh and Shri Shivinder Mohan Singh, namely: “……………………………….. i. REL and RFL (i.e. Noticee nos. 1 & 2) shall initiate steps to recall all the loans, amounting to Rs.2315.09 Crores (approx.) , as specified in table no. 8 under para 4 above, extended, either directly or directly, to the Noticee nos. 3 to 25 (viz. OSPL Infradeal Private Limited, Bharat Road Network Limited , Platinum Infrastructure Pvt. Ltd, Ad Advert
Final Order in the matter of Religare Enterprises Ltd. Page 3 of 127 dated March 14, 2019, BRNL preferred an Appeal No. 355 of 2019 before Hon’ble SAT. While disposing of the said Appeal no. 355 of 2019, vide its order dated August 9, 2019, Hon’ble SAT passed the following directions:
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Source: SecMarx — sebi:WTM/AB/IVD/ID2/18060/2022-23. 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.