sebi:WTM/PS/153/ERO-IMD/FEB/2016
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Facts / Headnote
Company and its four directors held jointly and severally liable to refund Rs.75 crore collected via NCDs with 15% interest compounded half-yearly, with asset/bank inventory, escrow, public notice and 4-year market-access bar till 4 years after completion of refunds; debenture trust/trustee restrained from acting as intermediary/accessing securities market for 4 years; without prejudice to adjudication/prosecution, recovery under section 28A, police and MCA references on default.
Provisions invoked
- s. 11A
- s. 19
- s. 12(1)
- s. 27
- s. 55A
- s. 73
- s. 28A
- s. 4A
- s. 67(3)
- s. 67
- s. 117B
- s. 73(2)
- s. 73(1)
- s. 2(36)
- s. 60
- s. 56(1)
- s. 56(3)
- s. 56(4)
- s. 117C
Regulations
- Reg. 7
- Reg. 6
- Reg. 16
- Reg. 9
- Reg. 17
- Reg. 12
- Reg. 28
- Reg. 8
- Reg. 15
- Reg. 14
- Reg. 4(4)
- Reg. 4(2)(a)
- Reg. 19
- Reg. 26
- Reg. 107
- Reg. 4(2)(b)
- Reg. 4(2)(d)
- Reg. 4(2)(c)
- Reg. 5(2)(b)
Parties
- Ramel Real Estate & Infrastructure Limited
- Remendra Mohan Sarkar
- Rameswar Podder
- Sukanta Deb
- Partha Das
- Ramel Real Estate and Infrastructure Debenture Trust
- Sanjoy Deb
Holding
The offer and allotment of NCDs to 1045 investors for Rs.75 crore was a public issue made in violation of sections 56, 60, 73, 117B and 117C of the Companies Act, 1956 and the ILDS Regulations, and the Company and its four directors were directed jointly and severally to refund the money with 15% interest with market-access restraints, while the unregistered, ineligible debenture trust/trustee was restrained for 4 years.
Full text
Page 2 of 17 “9. In view of the foregoing, I, in exercise of the powers conferred upon me under Sections 11, 11(4), 11A and 11B of the SEBI Act read with the Debt Securities Regulations and the Debenture Trustee Regulations, hereby issue the following directions – i. RREIL shall not mobilize funds from investors through the Offer of NCDs or through the issuance of equity shares or any other securities, to the public and/or invite subscription, in any manner whatsoever, either directly or indirectly till further directions; ii. RREIL and its Directors, viz. Shri Remendra Mohan Sarkar (DIN: 01753154), Shri Rameswar Podder (DIN: 01753196), Shri Sukanta Deb (DIN: 01753238) and Shri Partha Das (DIN: 03631995), 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 directions; iii. RREIL and its abovementioned 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; iv. RREIL shall provide a full inventory of all its assets and properties; v. RREIL's abovementioned Directors shall provide a full inventory of all their assets and properties; vi. RREIL and its abovementioned Directors shall not dispose of any of the properties or alienate or encumber any of the assets own
Page 3 of 17 3. For sake of convenience, the Company, its directors Remendra Mohan Sarkar, Rameswar Podder, Sukanta Deb and Partha Das, its debenture trustee, Ramel Real Estate and Infrastructure Debenture Trust (represented by its Trustee, Mr. Sanjoy Deb) are collectively referred to as “the noticees”. The interim order afforded opportunity to the noticees to file their submissions and seek an opportunity of personal hearing.
Page 4 of 17 (b) Though the noticee is an Advocate, he is involved only in registration of documents at the office of the District Sub-Registrar in Jalpaiguri and the surrounding areas.
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Source: SecMarx — sebi:WTM/PS/153/ERO-IMD/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.