sebi:WTM/PS/11/IVD/ID-06/OCT/2012
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Facts / Headnote
Interim directions issued vide ex-parte ad interim Order dated December 28, 2011 confirmed against all noticees till completion of investigation.
Provisions invoked
- s. 19
Parties
- Bharatiya Global Infomedia Limited
- Mr. Rakesh Bhatia
- Ms. Arti Bhatia
- Mr. Sanjeev Kumar Mittal
- Mr. Anil Kapoor
- Mr. Sanjay Kapoor
- Mr. Harjeet Anand
- Ms. Jaya Mishra
- Rajeev Kumar Agarwal
Holding
The Whole Time Member confirmed the directions issued against Bharatiya Global Infomedia Limited and its directors and Manager (Finance) vide the ex-parte ad interim Order dated December 28, 2011, declining to modify or revoke them till completion of the investigation.
Full text
Page 2 of 6 BGIL, its directors namely Mr. Rakesh Bhatia, Ms. Arti Bhatia, Mr. Sanjeev Kumar Mittal, Mr. Anil Kapoor, Mr. Sanjay Kapoor, Mr. Harjeet Anand, Ms. Jaya Mishra and its Manager (Finance) Rajeev Kumar Agarwal (hereinafter collectively referred to as ‘the persons/ entities’ and individually by their respective names) from buying, selling or dealing in the securities market in any manner whatsoever, till further directions. The
Page 3 of 6 Audit Committee. Further, all the payments made to the suppliers/ vendors out of the ICD proceeds were in accordance with the objects of the IPO declared in the offer document. c. The ICD proceeds were utilized towards the objects of the IPO and for making timely payments to the supplier/ vendors which resulted in substantial savings. The new vendors/ suppliers enjoy high credentials and had provided better delivery terms along with the warranty support and assured quality of the product. d. As regards, the utilization of idle IPO funds to the tune of `.12.5 crores for investment in ICDs, BGIL has stated that it was authorized to temporarily invest this in high quality interest bearing liquid instruments in accordance with the investment policies approved by the board of the company. The liabilities of BGIL had never increased substantially as a result of monies being raised in the form of ICDs and compared to the current liabilities as on March 31, 2011. e. The interest payable on the said ICDs has not been paid till date as BGIL had sought reduction of rate of interest. f. BGIL has submitted that any inconsistency in the information provided by it to SEBI was inadvertent in nature without the intention to mislead or conceal any information. g. All the properties acquired by BGIL were through transparent deals after the approvals from the Audit Committee of the Board of BGIL. Even if, any property has been acquired at a location not mentioned in the RHP, the same
Page 4 of 6 documents were provided for the purpose of making adequate disclosures in the offer documents. k. Out of the 7 directors of BGIL impleaded in the interim order, 4 are independent dirctors who are accomplished professionals/ personalities in their respective fields and were not concerned with the day to day management of the company. Further, the directors and Manager (Finance) of BGIL has been performing the duties towards the company, in their respective professional capacities with utmost diligence and care.
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Source: SecMarx — sebi:WTM/PS/11/IVD/ID-06/OCT/2012. 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.