Capital markets regulator Sebi on Tuesday slapped a total fine of Rs 15.4 crore on Chromatic India Ltd and its senior officials in a matter related to manipulation in issuance of global depository receipts (GDR).
The officials who have been fined are firm's directors Vinod Kumar Kaushik and Ajay Sethi.
Sebi had conducted an investigation of several Indian companies that had issued GDRs in overseas market with the intention of defrauding Indian investors. Chromatic India was among the companies investigated by Sebi in connection with GDR issue.
Chromatic India had issued 4.2 million GDRs amounting to USD 35.78 million in October 2010. The entire GDRs were subscribed by only one entity, Vintage FZE
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