Sebi allows N Ravichandran to subscribe shares in RIL's rights issue

Regulator Sebi on Tuesday allowed N Ravichandran, who was facing a capital markets ban, to subscribe shares in the ongoing rights issue of Reliance Industries Ltd (RIL).

However, he would not be permitted to subscribe to shares renounced by any other shareholder of RIL in the rights issue, the regulator said in an order.

In addition, he has been permitted to convert the physical share certificates held by him into the Demat form within three months.

The direction comes after Ravichandran on May 28 requested Sebi to permit him to apply for shares in the rights issue.

RIL's rights issue opened for subscription on May 20 and will close on June 3.

Giving certain relaxation to him, Sebi has allowed Ravichandran to subscribe shares in the rights issue of Reliance Industries Limited "up to his entitlement accruing due to his shareholding in Reliance Industries Limited".

Except for subscribing to shares in the rights issue and converting physical share certificates into Demat form as permitted, Ravichandran will continue to remain debarred from buying, selling or otherwise dealing in the securities market, Sebi noted.

The regulator, in November 2019, had barred Ravichandran from the capital markets for five years in an insider case of KLG Capital Services.