sebi:WTM/PS/12/ERO/MAY/2015
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Facts / Headnote
Interim directions restraining fund mobilization and securities dealing issued; show cause notice issued to company, promoters and directors as to why refund and other directions should not be imposed
Provisions invoked
- s. 24
- s. 19
- s. 55A
- s. 73
- s. 4A
- s. 67(3)
- s. 67
- s. 73(2)
- s. 45I
- s. 73(1)
- s. 2(36)
- s. 60
- s. 67(1)
- s. 56(1)
- s. 56(3)
- s. 67(2)
- s. 73(3)
- s. 621
- s. 209A
Regulations
- Reg. 7
- Reg. 107
- Reg. 57
- Reg. 25
- Reg. 6
- Reg. 59
- Reg. 36
- Reg. 46
- Reg. 4(2)(d)
- Reg. 47
- Reg. 5
Parties
- Amazan Capital Limited
- Shri Joydeb Garai
- Shri Basudeb Garai
- Smt. Gargi Biswas
- Shri Parag Keshar Bhattacharjee
- Shri Manigrib Bag
- Shri Dillip Kumar Gangopadhyay
Holding
Amazan Capital Limited, by offering and allotting equity shares to more than 49 persons (871 allottees) during FY 2010-11 and 2011-12 without filing a prospectus or complying with listing requirements, contravened sections 56, 60 and 73 of the Companies Act, 1956 and the ICDR Regulations. SEBI restrained the company, its promoters and directors from mobilizing funds and dealing in securities, and issued a show cause notice as to why refund directions with 15% interest should not be imposed.
Full text
Page 2 of 13 a. Copy of details regarding the filing of Prospectus / Red Herring Prospectus/Information memorandum with RoC for issuance of debentures/preference shares. b. Date of opening and closing of the subscription list for the said debentures/preference shares c. Details regarding the number of application forms circulated inviting subscription for debentures/ preference shares d. Details regarding the number of applications received e. Details regarding the number of allotees f. List of such allottees g. Number of debentures allotted and value of such allotment against each allotee’ s name h. Details regarding subscription amount raised i. Date of allotment of the debenture/ preference shares j. Copies of the minutes of Board/committee meeting in which the resolution has been passed for allotment k. Date of dispatch of debenture certificates etc. l. Copies of Statement in lieu of prospectus, if any, filed by the company with RoC for issue of said debentures / preference shares m. Details of the total number of applicants for each of its scheme besides the list of final allottees. n. Copies of application forms, RHP, pamphlets, advertisements and other promotional material circulated for issuance of debentures/ preference shares o. Terms and conditions of the issue of debentures/ preference shares
Page 3 of 13 Report to SEBI bringing out the findings of inspection on the violation of sections 73(3) and 299 of the Companies Act, 1956 while issuing equity shares by the company during the period of 2010-11 and 2011-12.
Page 4 of 13 Year Date of allotment Type of Security No of equity shares No. of allottees Total Amount (Rs) Rs. 10 27/02/2012 Equity shares of Rs. 10 8,74,500 49 0.87 Cr 28/02/2012 Equity shares of Rs. 10 4,05,500 49 0.40 Cr 29/02/2012 Equity shares of Rs. 10 1,28,500 30 0.13 Cr 01/03/2012 Equity shares of Rs. 10 9,98,500 49 1.00 Cr 05/03/2012 Equity shares of Rs. 10 5,44,500 49 0.54 Cr 07/03/2012 Equity shares of Rs. 10 1,98,900 20 0 .19 Cr Total in the year 2011-12 55,07,620 393 5.49 Cr Grand Total 57,29,110 871 7.70 Cr
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Source: SecMarx — sebi:WTM/PS/12/ERO/MAY/2015. 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.