Markets regulator Sebi has barred Indore-based Vinayak Homes & Real Estate and its five directors from raising funds from public with immediate effect as the firm was indulged in illegal fund mobilisation activity.
Besides, the regulator has ordered the entities not to dispose of properties obtained directly or indirectly by mobilising funds and immediately submit a full inventory of the assets owned by them.
The move comes after regulator received multiple complaints that fund mobilising activity was carried out by Vinayak Homes in the name of real estate business.
In an order dated December 24, Sebi said Vinayak Homes "prima-facie" mobilised an amount of over Rs 11 crore from year 2012 to 2015 through schemes involving plots of land.
The Securities and Exchange Board of India (Sebi) found that the company was raising money from investors through collective investment scheme (CIS) without obtaining requisite registration from the market watchdog.
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The regulator said that it "finds no other alternative but to take recourse through an interim order against the company and its directors/promoters for preventing them from further carrying on with its existing fund mobilising activity by launching CIS without registration from Sebi".
Accordingly, Sebi has passed directions against the firm and its directors -- Yogendra Bisay, Kalu Singh Verma, Jitendra Bisay, Phool Chand Bisay and Yuvraj.
In a separate order, the Sebi fined Jai Laxmi Cement Pvt Ltd Rs 5 lakh for executing fraudulent trades, which led to creation of artificial volume in the illiquid stock option segment on the BSE.
In April, the regulator announced to take action in a phased manner against 14,720 entities for fraudulent trade in the illiquid stock option segment and passed several orders in the past few weeks against such entities.
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