Sebi settles disclosure violation case with Sabero Organics

Capital market regulator Sebi today settled a case of alleged violations of disclosure norms by Sabero Organics Gujarat after the company paid more than Rs 12 lakh as settlement charges.
In a separate matter, the Securities and Exchange Board of India (Sebi) has also disposed of the proceedings against 10 entities after they paid Rs 9.63 lakh as fee to settle case of alleged non-compliance of disclosure norms with regard to their shareholding in Tak Machinery & Leasing.
Through two consent orders issued today, Sebi has disposed of adjudication proceedings pending against Sabero Organics and 10 entities for the alleged violations.

Under Sebi's consent mechanism, entities can seek to settle cases with the regulator after payment of certain charges and and other expenses without admission of guilt.
Pending adjudication proceedings, the entities had proposed to settle the cases against them under Sebi consent order mechanism.
Sabero Organics had offered to pay Rs 12.36 lakh as settlement fee, the 10 entities had proposed a total amount of Rs 9.63 lakh as consent charges.

Thereafter Sebi's High Powered Advisory Committee (HPAC) considered and recommended that the case can be settled on payment of the proposed amount.
The HPAC recommendation were also accepted by a panel of Sebi's whole time members.

The matter against Sabero was related to non-disclosures by the firm for 1998 and 1999 as well as delayed disclosures for the years 2000, 2001, 2002, 2005, 2007 and 2010.
Meanwhile, the 10 entities including Dasharath S Mahadevia, Dasharath S Mahadevia (HUF), Aditya D Mahadevia, Tushar D Mahadevia, Tushar D Mahadevia (HUF) had not made the yearly disclosures with respect to their shareholdings in Tak Machinery & Leasing for the years 2002, 2003 as well 2005 to 2011, within the prescribed time limit.