Sebi orders demat, bank account attachment of individual

Capital market regulator Sebi has ordered attachment of bank and demat accounts of one Anil D Modi to recover a penalty of Rs 25 lakh that was imposed for violation of norms.
The Securities and Exchange Board of India (Sebi), in March 2009, had slapped the fine on Modi for violation securities norms in the matter of Oasis Media Matrix Ltd.
Modi failed to pay dues and consequently the regulator initiated a recovery proceedings against him.
Recently, armed with powers to recover penalties from defaulters, the Sebi in attachment notices released yesterday directed banks to attach accounts held by the defaulter.

Besides, Sebi has asked depositories -- NSDL and CDSL -- to attach demat accounts of securities held by the defaulter.
In the notices to banks and depositories, Sebi has said that it had "sufficient reason" to believe that the defaulters may dispose of the amount and securities held in the bank and demat accounts respectively. This, Sebi said, could result in delay and obstruction in realising the amount.
Accordingly, Sebi has ordered banks and depositories to attach "all accounts by whatever name called of the defaulter, either singly or jointly with any other persons".
The Sebi has also asked for details of the accounts held by him, copy of the account statements, among others.