Sebi consent for Wilbur Ross firms

In 2011 market regulator had alleged they had failed to make an open offer, suppressed information

Market regulator Sebi has settled charges against four private equity investment firms of billionaire investor Wilbur Ross in case related to violation of norms while acquiring shares in airline operator SpiceJet.

The WLR Recovery III (India), WLR Recovery IV/ESC (India), India Asset Recovery Fund and WLR/GS (India) agreed to pay a sum of Rs 1.1 crore to settle the over two-year old dispute.

Sebi had issued a showcause notices in 2011 to the four entities alleging that they had failed to make an open offer, suppressed information and mislead the public.

The WL Ross entities had made a joint application to Sebi in June 2012 to settle the matter through consent.

The regulator has said that it has disposed off the adjudication proceedings against the four entities following settlement of consent terms.

In 2010, Ross, an US-based investor, had sold its controlling stake in Spicejet to the current promoter Kalanithi Maran of Sun TV Network. Ross had acquired stake in Spicejet in 2008.