sebi:WTM/MPB/ISD/CONF/08/2018
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Facts / Headnote
Directions contained in the Interim Order dated September 21, 2017 confirmed; direction regarding audit continued.
Provisions invoked
- s. 19
Parties
- Shivom Investment and Consultancy Ltd. (SICL)
Holding
The directions contained in the Interim Order dated September 21, 2017 against Shivom Investment and Consultancy Ltd. are confirmed, and the direction regarding independent audit shall continue, including covering the inter-se connections identified among related entities.
Full text
Order in the matter of Shivom Investment and Consultancy Ltd. Page 2 of 14 decisions, till SEBI and Exchanges completed their detailed examination of such companies.
Order in the matter of Shivom Investment and Consultancy Ltd. Page 3 of 14 (iii) The promoters and directors in Shivom Investment and Consultancy Ltd. are permitted only to buy the securities of Shivom Investment and Consultancy Ltd. (iv) The shares held by the promoters and directors in Shivom Investment and Consultancy Ltd. shall not be allowed to be transferred for sale, by depositories. (v) The other actions envisaged in SEBI’s letter dated August 07, 2017 in para 1 (d) as may be applicable, and the consequential action taken by Stock Exchanges shall continue to have effect against Shivom Investment and Consultancy Ltd.
Order in the matter of Shivom Investment and Consultancy Ltd. Page 4 of 14 noted that the entire operation is run by three employees of which one is a peon. Sample instances from the bank statements are as follows:……. Thus prima facie it appears that the company is being used as a conduit to facilitate multiple transactions between entities/individuals raising the suspicion of facilitating accommodation transactions. (c) The company has failed to provide documents to support its short term borrowings i.e. the bulk of its sources of funds. (d) As per the company website, the name of the company was changed to Shivom Investment & Consultancy Limited on February 14, 1999 from G. Raj Financial Consultancy Private Limited. However, the NBFC registration certificate No. 05.01155 submitted to SEBI by the company till date is issued in favour of G. Raj Financial Consultancy Private Limited by RBI and not in favour of Shivom Investment & Consultancy Limited. As per the documents submitted, it appears that it was only vide letter dated 08/03/2017, 21/04/2017 and 15/05/2017, that the company submitted documents/information for change of status and change of name and issue of certificate of registration in new name of the company to RBI. Further, letter dated 29/06/2017 issued by company to RBI on ‘Condoning for not intimating for merger/amalgamation of the company’ indicates that the company did not inform about the merger/amalgamation of the company to RBI.
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Source: SecMarx — sebi:WTM/MPB/ISD/CONF/08/2018. 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.