sebi:WTM/PS/80/CFD/FEB/2014
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Facts / Headnote
Interim restraint in paragraph 17(b) modified to permit the already-commenced voluntary delisting to proceed subject to deadline and revival conditions; other interim directions continued
Provisions invoked
- s. 19
- s. 12A
Regulations
- Reg. 8(1)(d)
Parties
- Vishnu Sugar Mills Limited
- Mr. K.K. Bajoria
- Mr. H.K. Bajoria
Holding
SEBI modified the interim order dated June 04, 2013 to permit Vishnu Sugar Mills Limited and its promoters Mr. K.K. Bajoria and Mr. H.K. Bajoria to proceed with the already-commenced voluntary delisting offer and acquire shares from public shareholders, subject to completion by June 30, 2014.
Full text
Page 2 of 4 a. The Company was unable to comply with the MPS norms due to unfavourable market condition especially with respect to the sugar industry. Therefore, the Company's promoters, i.e. Mr. K.K. Bajoria and Mr. H.K. Bajoria had expressed their intention, vide letter dated May 14, 2013, to delist the equity shares of the Company from the stock exchanges in accordance with the provisions of the SEBI (Delisting of Equity Shares) Regulations, 2009 (the 'Delisting Regulations'). b. The Board of Directors of the Company in their meeting held on May 20, 2013 had approved the resolution of authorising the delisting of the shares. c. Thereafter, the postal ballot process for seeking approval of the public shareholders of the Company for delisting of shares was dispatched on May 29, 2013. d. The scrutinizer vide its report dated July 01, 2013, has reported that the resolution has been approved with the requisite majority. e. On receipt of the scrutinizer's report, the Company had published the results of the postal ballot in the newspaper on July 02, 2013.
Page 3 of 4 approval of the shareholders through postal ballot favouring the proposal for delisting, I am of the view that the Company be permitted to delist its shares in accordance with the provisions of the Delisting Regulations. The Company has also submitted that the directions passed vide the interim order has restricted the Company's promoter from moving ahead with their acquisition of shares in the delisting process and requested to modify the interim order so as to enable the Company/ its promoter to proceed with the delisting process. I find it reasonable and appropriate to modify the directions issued vide the interim order to the extent that the same does not affect or prejudice the efforts of the Company/ its promoters' from continuing with the voluntary delisting process.
Page 4 of 4 7. This Order shall come into force with immediate effect. 8. The aforesaid directions are issued without prejudice to the right of SEBI to initiate action as contemplated in paragraph 18 of the interim order in case the delisting process of the Company is not successful within the period as directed in paragraph 6(i) above.
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Source: SecMarx — sebi:WTM/PS/80/CFD/FEB/2014. 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.