Thursday, 8 June 2017

SEBI directs Newland Agro Industries to refund with interest money collected through redeemable preference shares -The Total Investment & Insurance Solutions

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8 June 2017

SEBI passed an order in respect of Pinku Kumar Das of Newland Agro Industries Limited under Sections 11 and 11B of the SEBI Act, directing Das, along with Newland Agro Industries Ltd. and other directors, to jointly and severally, refund the money collected by the company through the issuance of RPS (redeemable preference shares). The shares have been found to be issued in contravention of the public issue norms. The refund is to be done with an interest at the rate of 15% per annum compounded at half yearly intervals, from the date when the repayments became due (in terms of Section 73(2) of the Companies Act, 1956) to the investors till the date of actual payment.

The SEBI Order specified that Das should provide the updated detailed inventory of all assets and properties and details of all bank accounts, demat accounts and holdings of shares/ securities, if held in physical form. The Total Investment & Insurance Solutions

The SEBI Order directed that Das should not to access the securities market and is further prohibited from buying, selling or otherwise dealing in securities, directly or indirectly, with immediate effect. He is also restrained from associating himself with any listed public company and any public company which intends to raise money from the public, with immediate effect. This restraint shall continue to be in force for a further period of four years on completion of the repayments. 


On the expiry of the three months period from the date of the SEBI order, failure to comply on the part of Das and Newland Agro Industries, SEBI shall recover such amounts in accordance with law and may initiate any other proceedings as per law.The Total Investment & Insurance Solutions

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