Sebi orders attachment of property related to a defaulter

Sebi today ordered attachment of a residential property with regard to default by one Vinod Hingorani.
Vinod's was the case where Sebi ordered arrest of a defaulter and the ruling was challenged.
The flat at Mira Road in Thane is "attached at present to the extent of Rs 22 lakh along with interest thereon with effect from January 30, 2013," Sebi's General Manager and Recovery Officer D V Sekhar said in an order today.
The flat was owned by the defaulter's spouse Pimmi Vinod Hingorani. The diversion of money by the defaulter (Vinod) to Pimmi was done on January 30, 2013.

In today's order, the recovery officer noted that the purchase of Dev Paradise flat by Vinod in the name of Pimmi and subsequent sale of it to three others was "part of a scheme devised by the defaulter and noticee No 1 (Pimmi) to evade the dues of Sebi and defeat the purpose of the recovery proceedings".
The property was sold by Pimmi to three others -- Rinki Suraj Singh, Damini Suraj Singh and Sarika Suraj Singh.

"I conclude that flat No A-1101, Dev Paradise was purchased partly out of Rs 22 lakh diverted by the defaulter on selling his flat at Dev Paradise. Hence, the said flat at A-1101 in Dev Paradise is the property of the defaulter at least to the extent of Rs 22 lakh and the noticee No 1 (Pimmi) is only the defaulter's representative in interest," the recovery officer said.

The defaulter, even after Sebi launching one prosecution case "dishonestly sold the flat at D-63 to his close relative and diverted a part of sale consideration of Rs 22 lakh through his spouse, the order noted.
Vinod Hingorani was the Chairman and Managing Director of Adam Comsof Ltd and Kolar Biotech Ltd as well as director in other companies. Sebi had imposed a total penalty of over Rs 1 crore on him through three separate orders in 2010 for various violations.