KFintech settles Sebi proceedings with payment of over Rs 91 lakh

The registrar and transfer agent was found to be violating rules during a Sebi inspection in 2019-2020

KFin Technologies has paid over Rs 91 lakh to the markets regulator Securities and Exchange Board of India (Sebi) to settle a matter pertaining to delays in issuance of duplicate share certificates and processing of transfer and transmission requests among other violations and discrepancies noted by Sebi during an inspection a few years back.

In an inspection conducted during December 2019-January 2020, Sebi had found discrepancies and delays in issuing duplicate share certificates and processing of transfer and transmission requests. The registrar and transfer agent was also found to be in violation of regulations by not issuing letters to collect bank details of shareholders and misrepresenting facts to SEBI regarding availability of specimen signatures of shareholders.

Post this inspection, the regulator had initiated proceedings. Later, KFin Technologies proposed to settle the proceedings through a settlement order. The regulator's high powered advisory committee on settlement approved an amount of Rs 91.2 lakh for the settlement.