SEBI orders to attach Pyramid Saimira promoter property

Market regulator earlier excised its power to order arrest of Saminathan

The market regulator Securities and Exchange Board of India (SEBI) today issued an order of attachment of immovable property belongs to Uma Saminathan, wife of P S Saminathan, promoter of Pyramid Saimira.

In an order today, the market regulator said that Saminathan has failed to pay the sum of Rs 1.27 crore in respect of Certificates dated October 9, 2013 drawn up by the Recovery Officer, Mumbai and the interest costs, etc.,.

During the proceedings Saminathan agreed to pay the dues on or before June 3, 2014, whereas he failed to pay the dues before the agreed date.

SEBI restrained and prohbited Uma Saminthan from transfering or charging the under the property at Singaparumal Koil, said in the Order.

It may be noted on May 27, in the first ever exercise of Sebi's powers to order arrest of a defaulter, former promoter of Pyramid Saimira Saminathan was detained for failing to pay over Rs 1 crore dues, but was released later on health grounds and after furnishing sureties for the required payments.

Sebi had detained Saminathan at his Chennai office and had asked him to come out with detailed proposal for payment of dues, failing which he would be arrested and sent to a civil prison.

The market watchdog in October last year, had directed Saminathan to pay the penalty of Rs 1.27 crore imposed on him for his involvement in case related to fraudulent trading activities of Pyramid Saimira Theatre. Besides the penalty, Saminathan also has to pay an interest and other charges.