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Capital markets regulator Sebi has refused to lift ban on Nikhara Bharat Construction and its directors in a 'collective investment scheme' case promising returns on 'growing trees'.
Sebi, through an interim order in June last year, had restrained the firm and its directors for mobilising money from investors through unauthorised CIS activities.
In an fresh order now, Sebi has confirmed "the interim order dated June 12, 2014 against Nikhara and its directors - Kodandarama Pilliah, Bharathi Balakrishna Murthy and Sreedevi Balakrishnamurthy."
This order will continue to be in force till further directions by Securities and Exchange Board of India (Sebi).
The company has been allowed to execute and register sale deeds where the customer has already made payments.
Further, Sebi's Whole Time Member Prashant Saran has directed "to conclude the investigation expeditiously and initiate further action in the matter... A separate order shall be issued for appointing the Investigation Authority."
The regulator had begun the probe after receiving a complaint in April last year alleging illegal mobilisation of funds from public by the company under its 'Grow Tree Scheme'/'Tree Booking Scheme'.
The fund mobilising activity of Nikhara, which is in the nature of a CIS... Has been camouflaged by Nikhara by terming it as a 'real estate development and sales business' only to mislead and attract investment from general public," Sebi had said in the interim order.
