Sebi bars JKS Projects Ltd, 22 others from securities markets

Sebi Tuesday barred JKS Project Ltd, its 19 past and present directors as well as three promoters from securities markets till further orders for ''prima-facie'' violating public issue norms.

Besides, the regulator asked the entities not to dispose of the assets or divert funds raised from public.

Following a complaint against firm, the regulator conducted a probe and observed that the firm allotted redeemable preference shares (RPS) to 58 persons in 2011-12 and mobilised Rs 45.29 lakh. In 2012-13, it mobilsed Rs 1.15 crore from 346 allottees.

As the number of allottees were more than 49, issuance of RPS was prima facie a public issue which required registration from Registrar of Companies and mandatory listing on the exchanges, among others.

However, the company failed to do so and thereby allegedly contravened public issue norms, Sebi said.

Regarding the directors, the regulator said that the RPS were allotted during the their directorship hence they are prima-facie liable for the contravention.

Accordingly, Securities and Exchange Board of India barred JKS Projects Ltd, 19 present and past directors, three promoters -- Kabita Kumari Sah, Rajabalbha Singh and Sankar Bhattachary.