sebi:WTM/MPB/EFD-1-DRA-IV/140/2018
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Facts / Headnote
Directions issued requiring refund of Rs. 2.31 crores with 15% interest, asset inventory, market access restrictions for 4 years, and public notice requirements against the Noticees.
Provisions invoked
- s. 19
- s. 55A
- s. 73
- s. 28A
- s. 4A
- s. 67(3)
- s. 67
- s. 56
- s. 73(2)
- s. 73(1)
- s. 2(36)
- s. 60
- s. 67(1)
- s. 27(2)
- s. 56(1)
- s. 56(3)
- s. 67(2)
- s. 56(4)
- s. 73(3)
Regulations
- Reg. 107
Parties
- Shri Manoj Kumar Pradhan
- Shri Bhimsen Soren
- Shri Rasmiranjan Swain
- Shri Jyotiranjan Panda
- Shri Anil Kumar Senapati
- Shri Amrit Bhunia
Holding
The Noticees, as directors of MIL during the issuance of Redeemable Preference Shares to 2,110 persons raising Rs. 2.31 crores, were held liable for violating Sections 56, 60, and 73 of the Companies Act, 1956, and were directed to jointly and severally refund the collected amount with 15% interest per annum, and restrained from accessing the securities market for 4 years from completion of refunds.
Full text
Order in the matter of M/s Magnox Infraprojects Limited Page 2 of 21 Calcutta High Court, wherein it was, inter alia, stated that MIL was mobilizing funds through issue of redeemable preference shares ("Offer of RPS"). SEBI undertook an enquiry to ascertain whether MIL had made any public issue of securities without complying with the provisions of the Companies Act, 1956; Securities and Exchange Board of India Act, 1992 (hereinafter referred to as “SEBI Act”) and the Rules and Regulations framed thereunder.
Order in the matter of M/s Magnox Infraprojects Limited Page 3 of 21 collectively referred to as “Noticees”). Thereafter, SEBI passed an interim order dated November 20, 2015 (hereinafter referred to as “interim order”), against the aforesaid Noticees.
Order in the matter of M/s Magnox Infraprojects Limited Page 4 of 21 securities market, either directly or indirectly, till further directions;
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Source: SecMarx — sebi:WTM/MPB/EFD-1-DRA-IV/140/2018. 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.