sebi:WTM/SR/ERO/11/01/2015
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Facts / Headnote
Interim directions issued restraining CIL and its present and past directors from mobilizing fresh funds and accessing securities market, directing asset inventory, freezing disposal/diversion of assets/funds, requiring information within 21 days, and prohibiting the debenture trustee from acting, till further orders
Provisions invoked
- s. 11
- s. 12(1)
- s. 55A
- s. 22
- s. 73
- s. 4A
- s. 30
- s. 67(3)
- s. 67
- s. 117B
- s. 56
- s. 67(1)
- s. 67(2)
- s. 73(1)
- s. 2(36)
- s. 60
- s. 73(2)
- s. 56(1)
- s. 117C
- s. 56(3)
Regulations
- Reg. 7
- Reg. 6
- Reg. 16
- Reg. 9
- Reg. 17
- Reg. 12
- Reg. 8
- Reg. 15
- Reg. 14
- Reg. 4(4)
- Reg. 4(2)(a)
- Reg. 19
- Reg. 26
- Reg. 4(2)(b)
- Reg. 4(2)(d)
- Reg. 4(2)(c)
- Reg. 5(2)(b)
Parties
- CIL
- Shri Swapan Majumdar
- Shri Pranab Kumar Roy
- Shri Subhas Bose
- Shri Partha Chakraborti
- Smt Soma Chakraborti
- Shri Swapan Kumar Sen
- Shri Prithwis Kumar Das
- Shri Litan Chandra Sen
- Shri Biplab Halder
- Shri Santosh Kumar
- Shri Bijoy Das
- Chakra Debenture Trust (represented by its trustee Mr. Sunil Kumar Saha)
Holding
CIL's Offer of NCDs was prima facie held to be a public issue of securities in violation of Sections 56, 60 read with 2(36), 73, 117B, 117C of the Companies Act, 1956 and the Debt Securities Regulations, and interim restraining and disclosure directions were issued against CIL, its directors and its debenture trustee.
Full text
Page 2 of 17 debentures of Rs. 5,57,49,100/-(total number of Debentures 5,57,491 and the face value of each debenture is Rs. 100/-), Date of opening of the issue and date of closing of issue were 31/03/2012 and 30/06/2012 respectively. ii. Share Application Money of Rs. 30,00,000/- shown in the Balance sheet as at 31/03/2011. No list of applicants from whom such money was received has been furnished by the company."
Page 3 of 17 l. Date of dispatch of debenture certificates etc. m. Details of the total number of applicants for each of its schemes besides the list of final allottees. n. Copies of application forms, pamphlets, advertisements and other promotional material circulated for issuance of debentures o. Terms and conditions of the issue of debentures.
Page 4 of 17 iv. The company received 48 application forms to whom the company issued non-convertible secured redeemable debentures. v. Details of total no. of applicants for each of the schemes are the same as per the list of final allottees. vi. The company has issued non-convertible secured redeemable debentures strictly on private placement basis without issuing pamphlets, advertisements and other promotional materials in circulations for issuance of such debentures."
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Source: SecMarx — sebi:WTM/SR/ERO/11/01/2015. 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.