sebi:WTM/PS/06/ERO-BLO/APR/2016
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Facts / Headnote
Company and its three present directors and one past director held to have made illegal public issue and directed jointly and severally to refund Rs.90 lakh with 15% p.a. interest compounded half-yearly, to provide asset inventories, to publish refund modalities, and restrained from securities market till 4 years after completion of refunds.
Provisions invoked
- s. 11A
- s. 19
- s. 27
- s. 55A
- s. 73
- s. 28A
- s. 4A
- s. 67(3)
- s. 73(2)
- s. 29
- s. 291
- s. 73(1)
- s. 2(36)
- s. 60
- s. 56(1)
- s. 56(3)
- s. 73(3)
- s. 56(4)
Regulations
- Reg. 107
Parties
- Real Agri Industries and Services Limited
- Mr. Kamal Kumar Biswas
- Mr. Mrityunjoy Biswas
- Mr. Goutam Saha
- Smt. Rekha Biswas
Holding
Real Agri Industries and Services Limited made a public offer of Redeemable Preference Shares to 809 persons raising Rs.90 lakh during 2009-2012 in violation of sections 56, 60 and 73 of the Companies Act, 1956. The Company with Mr. Kamal Kumar Biswas, Mr. Mrityunjoy Biswas, Mr. Goutam Saha and past director Smt. Rekha Biswas were directed jointly and severally to refund with 15% p.a. interest compounded half-yearly and restrained from the securities market till 4 years after completion of refunds.
Full text
Page 2 of 16 securities, to the public and/or invite subscription, in any manner whatsoever, either directly or indirectly till further directions; ii. RAISL and its present Directors, viz. Shri Kamal Kumar Biswas (PAN: AIDPB6313L; DIN: 02661348), Shri Mrityunjoy Biswas (PAN: AHQPB9848J; DIN: 02661322) and Shri Goutam Saha (PAN: CHFPS4590F; DIN: 03536136), are prohibited from issuing prospectus or any offer document or issue advertisement for soliciting money from the public for the issue of securities, in any manner whatsoever, either directly or indirectly, till further orders; iii. The past Director of RAISL, viz. Smt. Rekha Biswas (PAN: ATOPB8487H; DIN: 02661366), is prohibited from issuing prospectus or any offer document or issue advertisement for soliciting money from the public for the issue of securities, in any manner whatsoever, either directly or indirectly, till further orders; iv. RAISL and its abovementioned past and present Directors, are restrained from accessing the securities market and further prohibited from buying, selling or otherwise dealing in the securities market, either directly or indirectly, till further directions; v. RAISL shall provide a full inventory of all its assets and properties; vi. RAISL's abovementioned past and present Directors shall provide a full inventory of all their assets and properties; vii. RAISL and its abovementioned present Directors shall not dispose of any of the properties or alienate or encumber any of the assets owne
Page 3 of 16 ii. Directing them to not issue prospectus or any offer document or issue advertisement for soliciting money from the public for the issue of securities, in any manner whatsoever, either directly or indirectly, for an appropriate period; iii. Directions restraining them from accessing the securities market and prohibiting them from buying, selling or otherwise dealing in securities for an appropriate period.
Page 4 of 16 mentioned in the aforesaid Company’s letter also returned undelivered. SEBI therefore placed the notice in its website. Considering that none of the noticees filed their replies and attended the personal hearing despite making a public notice, I note that adequate opportunities were afforded to the noticees. I therefore deem it proper and necessary to close further opportunities and proceed with the matter on merits.
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Source: SecMarx — sebi:WTM/PS/06/ERO-BLO/APR/2016. 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.