sebi:WTM/PS/151/CIS-NRO/FEB/2016
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Facts / Headnote
Directions issued: abstain from collecting money/launching CIS, wind up schemes and refund investors within three months, restrain from securities market for four years, provide asset inventory, with consequences for non-compliance.
Provisions invoked
- s. 11A
- s. 24
- s. 19
- s. 12
Regulations
- Reg. 65
- Reg. 3
- Reg. 199
Parties
- Zeestar Multi Club & Tours Pvt. Limited
- Mr. Mrinal Atal
- Mr. Surendra Kumar
- Mr. Shailendra Prasad Badoni
Holding
The schemes floated by Zeestar Multi Club & Tours Pvt. Limited satisfy all four conditions under Section 11AA(2) of the SEBI Act and constitute an unregistered Collective Investment Scheme, contravening Section 12(1B) of the SEBI Act and Regulation 3 of the CIS Regulations. Directions were issued against the Company and its directors to wind up the schemes, refund investors, and refrain from accessing the securities market for four years.
Full text
Page 2 of 13 proposed to be floated in future will be duly registered with SEBI under the SEBI Act, 1992 (hereinafter referred to ‘SEBI Act’) and the SEBI (Collective Investment Schemes) Regulation 1999 (hereinafter referred to ‘CIS Regulations’).
Page 3 of 13 SCN, failing which it shall be presumed that the Company does not have any explanation to offer and that the proceedings will be concluded ex parte on the basis of the material available on record.
Page 4 of 13 b. The Zeestar group headed by Mr. Ajay Kumar Atal, his son Mr. Mrinal Atal and his wife Ms. Renu Atal had discussed with him about incorporation of a company, which will work exactly like Club Mahindra/ Sterling Holidays/ Country Club. He was directed by these persons to contact the hotels and resorts in Uttarakhand, so that the clients of the Company can be sent to those places.
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Source: SecMarx — sebi:WTM/PS/151/CIS-NRO/FEB/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.