Business Standard

Sebi fines Kemrock Industries MD, promoter Rs 16 lakh for disclosure lapses


Press Trust of India New Delhi
Market regulator Sebi has levied a total fine of Rs 16 lakh on two officials of Kemrock Industries and Exports Ltd for disclosure lapses.
Kalpesh Mahendrabhai Patel was Managing Director of Kemrock Industries, while Bintaben Kalpesh Patel was a promoter of the firm at the time of violation, as per Sebi order.
From June 2012 to September 2012, the regulator conducted a probe regarding dealings in shares of the firm.
Pursuant to the probe, the regulator found that both failed to make disclosure of creation of pledge shares and also failed to disclose the closure of pledge during the investigation period, which was violative of SAST (Substantial Acquisition of Shares and Takeovers) norms.
Besides, Kalpesh failed to disclose the change in the shareholding and thereby contravened PIT (Prohibition of Insider Trading) norms, the Securities and Exchange Board of India (Sebi) said.
"...violations committed by Noticees (Kalpesh and Bintaben) can't be ignored and make a fit case for imposing monetary penalty," Sebi said in the Tuesday order.
Subsequently, a fine of Rs 14 lakh was imposed on Kalpesh and Rs 2 lakh on Bintaben.
In a separate order, Sebi imposed a fine of Rs 13 lakh on three promoters of Glory Polyfilms Ltd for failing to make timely disclosures to company as well as to stock exchanges under SAST Regulations and PIT norms.
Yogesh Kela, Prakash Nandalal Kela and Umesh Kela were promoters of the firm at the time of violation, Sebi said.

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First Published: Jun 26 2019 | 9:20 PM IST

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