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Sebi bans senior official of PDS Agro from securities market for 3 years

Sebi said that Roy, by violating provisions of the Companies Act, "prejudicially affected the interest of investors and the securities market."

Topics
Sebi | securities market | Companies Act

Press Trust of India  |  New Delhi 

Sebi
Being a senior official of the firm, Roy was liable for violations committed by the firm.

regulator on Wednesday restrained a senior official of PDS Agro Industries Ltd from accessing for three years in a matter related to illegal mobilisation of money by the company.

The regulator had in April 2018 passed an interim order against the company and its officials for violation of public issue norms by issuing redeemable preference shares to at least 850 investors in the financial year 2010-11 and 2011-12, thereby, illegally raising Rs 52,82,500.

The regulator had also said that if the firm, its directors and promoters do not file any reply in 21 days or do not seek opportunity of hearing within 90 days, the prima facie findings with respect to violation of public issue norms would become final and the directions would become final and absolute against them.

No one except Sumana Ghosh Roy, who was a promoter of the firm and also a non-executive director from April 20, 2010 to July 30, 2010, filed the reply, noted.

Being a senior official of the firm, Roy was liable for violations committed by the firm.

said that Roy, by violating provisions of the Companies Act, "prejudicially affected the interest of investors and the "

Thus, Roy has been barred from accessing for three years.

The period of restraint already undergone by Roy, in terms of the interim order, shall be set off against the period of prohibition imposed by the regulator's order issued on Wednesday.

(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)

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First Published: Wed, October 07 2020. 22:57 IST
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