CIS case: Sebi bars Anmol India from raising funds from public

Taking action against illegal investment schemes in the garb of plant cultivation and animal rearing, Sebi today barred Anmol India Agro-Herbal Farming & Dairies Care Company from raising funds from the public with immediate effect.
Besides, it directed the company not to launch any new scheme.
The Securities and Exchange Board of India (Sebi) found that Anmol India was running 'collective investment schemes (CIS)' without obtaining registration from the regulator.
The company was inviting investments from the general public through its 'development and maintenance/rearing of the farms/animals/plants' scheme.
"... 'scheme' of sale, development and maintenance/ rearing of farms/ animals/ plants' offered by Anmol Agro with an intended promise of returns," when considered in light of peculiar characteristics and features of such scheme prima facie satisfies all the conditions under CIS, Sebi said.

Accordingly, Sebi has directed the company and its directors--Mohammad Junaid Memon, Mohammad Umar Memon, Mohammad Javed Memon and Mohammad Khalid Memon --"not to collect any fresh money from investors under its existing schemes" as well as "not to launch any new scheme.

They also have "to immediately submit the full inventory of the assets including land obtained through money raised".
Besides, the company and its directors have been barred from disposing of or alienate any of the properties or assets owned or acquired through the money raised.
Further, they cannot divert any funds raised from public at large which are kept in bank account of the company. They have to furnish all details of its investors, among other information, to Sebi.

These directions would take effect "immediately and shall be in force until further orders.