sebi:WTM/SR/CIS/32/07/2014
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Facts / Headnote
Interim directions restraining SPCL and its directors from collecting further funds, launching new schemes, disposing of assets, or diverting funds, pending investigation.
Provisions invoked
- s. 11A
- s. 12
- s. 11
Regulations
- Reg. 65
- Reg. 3
- Reg. 4(2)
Parties
- Sai Prasad Corporation Ltd.
- Mr. Balasaheb K. Bhapkar
- Mr. Shashank B Bhapkar
- Mrs. Vandana B. Bhapkar
Holding
SPCL's 'JV Participation Subscription Structure' schemes constitute a 'collective investment scheme' under Section 11AA of the SEBI Act, and SPCL and its directors are illegally mobilizing funds from the public without obtaining a certificate of registration as required under Section 12(1B).
Full text
Page 2 of 16 vi. Sample copies of the registration letter and allotment letter issued to the investors who subscribed to schemes offered by SPCL vii. Sample copies of the agreement letter/contract required to be entered into by investor/applicant under schemes offered by SPCL. viii. Details of the scheme wise amount mobilized by SPCL till date along with the number of investors under the schemes offered by SPCL. ix. Details of the scheme wise amount paid/redeemed by SPCL till date along with the number of investors under the schemes offered by SPCL. x. Certified copy of audited financial statement for the last three financial years. xi. Copy of Income Tax Return filed by SPCL for the last three financial years. xii. Details of all the bank accounts maintained by SPCL. xiii. List of investors alongwith their contact details. xiv. Details of the regulatory approvals obtained by SPCL, if any, for provision of accidental death/disability benefits to investor, under schemes offered by SPCL. xv. Details of any other similar scheme(s), if any, floated by SPCL or its group/associate companies. xvi. Details of regulatory approval/registration obtained by SPCL from any Regulatory Agency/Authority.
Page 3 of 16 4. SEBI also received a reference dated March 3, 2014 from Income Tax Department inter alia alleging that Sai Prasad group is collecting money from public in the name of SPCL despite SEBI order dated July 17, 2013 and that during the period April 1, 2013 to December 31, 2013, SPCL has collected money in tune of ` 290 crores from public.
Page 4 of 16 funds by SPCL is a ‘collective investment scheme’ in accordance with Section 11AA of the SEBI Act, 1992 (hereinafter referred to as "SEBI Act").
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Source: SecMarx — sebi:WTM/SR/CIS/32/07/2014. 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.