Religare Enterprises pays Rs 5.41 cr to Sebi to settle legacy issues

NBFC Religare Enterprises Ltd (REL) on Sunday said it has paid Rs 5.41 crore to market regulator Sebi to settle its past cases.

In order to settle another legacy issue and keep REL growing as per its plans, it had submitted an application for settlement under the SEBI (Settlement Proceedings) Regulations, 2018 without admission or denial of SEBI's findings, the company said in a statement.

The said application along with the settlement terms proposed by the company were examined by SEBI which having considered the facts and circumstances of the case, approved that the specified proceedings may be settled upon payment of Rs 5.41 crore, it said.

The statement further said certain compliance requirements were overlooked/not complied with during the period between April 1, 2011 to March 31, 2018.

It may be noted that during the aforesaid period, the control and management of the company rested with erstwhile promoters Malvinder Mohan Singh and Shivinder Mohan Singh and certain individuals who were accustomed to act on their instructions, it said.

None of these is now associated with REL, it said, adding, the erstwhile promoters have already been reclassified as public shareholders by the exchanges and REL is a professional company without any promoter.

Further, the company and its subsidiaries have been vigorously pursuing various legal recourses against such persons.

The current management is working tirelessly to restore REL to its rightful position as a leading player in the BFSI domain and closing these legacy issues remains a top priority as the company embarks on a new journey with new businesses and fresh funding on the horizon, it said.