sebi:WTM/PS/195/ERO-GLO/MAR/2016
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Facts / Headnote
Directions issued: refund of money collected through RPS with 15% p.a. interest compounded half-yearly, joint and several liability of company and directors, market access restrictions for 4 years post-refund, asset inventory, public notice, and escalation provisions for non-compliance.
Provisions invoked
- s. 19
- s. 27
- s. 55A
- s. 73
- s. 28A
- s. 4A
- s. 67(3)
- s. 56
- s. 73(2)
- s. 67(1)
- s. 67(2)
- s. 67
- s. 73(1)
- s. 2(36)
- s. 60
- s. 56(1)
- s. 56(3)
- s. 73(3)
Regulations
- Reg. 13
- Reg. 4(2)(a)
- Reg. 15
- Reg. 16
- Reg. 22
- Reg. 7
- Reg. 8
- Reg. 6
- Reg. 5
- Reg. 4(5)
- Reg. 4(2)(b)
- Reg. 4(2)(c)
- Reg. 9
- Reg. 4(2)(e)
- Reg. 4(2)(d)
- Reg. 4(3)
Parties
- Subha Commercial Services Limited
- Goutam Ghosh
- Uttam Ghosh
- Biswajit Sukla Das
- Ashim Das
Holding
The Company's offer and allotment of Redeemable Preference Shares to 850 allottees constituted a public issue under Section 67(3) of the Companies Act, 1956, and the Company and its four directors are jointly and severally liable to refund all money collected with 15% p.a. interest compounded half-yearly, and are restrained from accessing the securities market for four years after completion of refunds.
Full text
Page 2 of 15 fund raising activities are carried on by the Company and its directors, SEBI had issued the following directions: “… …
Page 3 of 15 ‘MCA-21’ portal. The interim order was also treated as a show cause notice which advised the Company and its directors to file their replies within 21 days from the date of its receipt and also seek an opportunity of personal hearing.
Page 4 of 15 already afforded to him for making submissions in the matter, I am inclined to proceed further with the matter.
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Source: SecMarx — sebi:WTM/PS/195/ERO-GLO/MAR/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.