Sebi slaps Rs 4 lakh fine on two companies

Markets watchdog Sebi has imposed a total fine of Rs 4 lakh on two companies -- Calibre Trades Finance and Assam Entrade -- for not registering with the regulator's online complaint redressal system SCORES.
SCORES provides a centralised database of all complaints. Online movement of complaints to the listed companies concerned and upload of their Action Taken Reports (ATRs) are done through this system.
The regulator has slapped a fine of Rs 2.5 lakh on Calibre Trades Finance and Rs 1.5 lakh on Assam Entrade.
A Securities and Exchange Board of India (Sebi) probe found that the firms failed to obtain SCORES authentication within the mandated timeframe even after repeated reminders.

The regulator, through two circulars in August 2012 and April 2013, had directed all the listed companies to obtain SCORES authentication within the stipulated time period.
Thereafter, Sebi again advised the companies in December 2013 to submit the requisite information.

However, these two companies again failed to submit the requisite information for SCORES authentication.
"Failure to comply with the directions of Sebi contained in the circulars and thereafter the directions contained in the letter dated December 2, 2013 amounts to repeated violation of the directions given by Sebi," Sebi's Adjudicating officer S Madhusudhanan said in two separate orders.
In the matter of Calibre Trades Finance, Madhusudhanan said "failure... To obtain SCORES authentication has deprived the investors of an avenue, through which they can seek redressal of their grievance, if any."

While Assam Entrade obtained mandatory authentication in August 2014, Calibre Trades Finance has still not obtained SCORES authentication.
Launched in 2011, SCORES helps investors view, track and follow up the action taken on their grievances. The online redressal system has significantly helped in reducing processing time of complaints.