Oceanic Foods pays Rs 12.22L to settle disclosure lapses case with Sebi

Oceanic Foods on Wednesday settled with the capital markets regulator Sebi a case related to an alleged violation of disclosure lapses by paying Rs 12.22 lakh towards the settlement fee.

 

Oceanic Foods Ltd (OFL), a BSE-listed entity, is engaged in the business of production and sale of dehydrated spices and vegetables.

 

The settlement order came after the applicant (Oceanic Foods) proposed to settle the instant proceedings initiated against it, without "admitting or denying the findings of facts and conclusions of law".

 

The Securities and Exchange Board of India (Sebi) initiated adjudication proceedings against Oceanic Foods for the alleged violations of Sebi's LODR (Listing Obligations and Disclosure Requirements) regulations as well as other market norms.

 

Thereafter, a show cause notice was issued by the markets watchdog to Oceanic Foods on February 20, 2024, for the alleged violation.

 

The SCN was issued to the OFL for non-disclosure of the NCLT petition filed by its ex-MD & CEO against it and for non-disclosure of the freeze of its bank accounts by its ex-MD & CEO, which was a disruption in its operations, not in the ordinary course of business, which had a material effect on the applicant.

 

"In view of the acceptance of the settlement terms and the receipt of the settlement amount by Sebi, the instant adjudication proceedings initiated against the applicant vide SCN dated February 20, 2024, is disposed of in terms of the settlement regulations," Sebi said in the order.

 

Oceanic Foods Ltd applied to settle the proceedings that may be initiated against it for allegedly violating the disclosure rules by filing a settlement application.

 

Pursuant to the receipt of the settlement application, the applicant proposed revised settlement terms, which were approved by Sebi's High Powered Advisory Committee (HPAC), which recommended the matter to be settled.

 

Subsequently, after remitting the settlement fee of Rs 12.22 lakh, Oceanic Foods settled the matter with the regulator.