STOCK MARKET BSE NSE

Sebi Fines Rs 20 Lakh on 17 Entities in Ahlcon Case

Sebi found that 17 entities, which include 14 individuals and three firms were persons acting in concert with promoter group of the company.

Published: 03rd October 2014 03:26 PM  |   Last Updated: 03rd October 2014 03:34 PM   |  A+A-

SEBI2PTI

A file photo of Sebi Bhavan (PTI)

By PTI

MUMBAI: Capital market regulator Sebi has imposed a cumulative penalty of Rs 20 lakh on 17 entities for not making a public announcement with respect to acquisition of additional shares of Ahlcon Parenterals (India) Ltd.

The case relates to 5.45 per cent stake acquisition by Ahlcon Parenterals' promoters together with persons acting in concert (PACs) in the firm during 2009-10.

Sebi found that 17 entities, which include 14 individuals and three firms -- Ahluwalia Builders & Development Group, Tidal Securities and Capricon Industrials -- were persons acting in concert with promoter group of the company.

According the market regulator the PACs along with the promoter group were required to make a public announcement as there stake acquisition in the company as they had crossed the 5 per cent threshold limit.

Consequently, in an order dated October 1, Securities and Exchange Board of India (Sebi) has "imposed a penalty of Rs 20 lakh" on the 17 entities which were acting in concert with the company's promoter group.

The fine has to be paid "jointly and severally" by the 17 entities.

Under the regulator's takeover norms, entities can acquire up to 5 per cent shares from the open market in a company without making a public announcement.

However, the moment 5 per cent shares are acquired any additional stake can be brought only after making a public announcement

"The promoter group during the period January 2009 to March 2010 had acquired 5.45 per cent shares in the target company," Sebi said in the order.

"Thus, they had crossed the permissible limit of 5 per cent and had to make a public announcement to acquire any additional share in terms of... Takeover Regulations which they had failed to do," it added.

Besides these 17 entities, Sebi observed that another PAC, Madan Gopal, related to this case, had expired and therefore the current proceedings against him are abated.

The 14 individuals penalised are -- Bikramjit Ahluwalia, Ram Piari, Pushpa Rani, Raman Pal, Rohini S Ahluwalia, Rohini Ahluwalia, Shobhit Uppal, Vikas Ahluwalia, Rachna Uppal, Sudarshan Walia, Sudarshan Ahluwalia, Mukta Ahluwalia, Santosh Ahluwalia and Raj Kumar Ahluwalia.

Sebi had come across the violation while examining the letter of offer by B Braun Singapore Pte Ltd along with B Braun Melsungen AG to acquire 26 per cent shares of the Ahlcon Parenterals.



Comments

Disclaimer : We respect your thoughts and views! But we need to be judicious while moderating your comments. All the comments will be moderated by the newindianexpress.com editorial. Abstain from posting comments that are obscene, defamatory or inflammatory, and do not indulge in personal attacks. Try to avoid outside hyperlinks inside the comment. Help us delete comments that do not follow these guidelines.

The views expressed in comments published on newindianexpress.com are those of the comment writers alone. They do not represent the views or opinions of newindianexpress.com or its staff, nor do they represent the views or opinions of The New Indian Express Group, or any entity of, or affiliated with, The New Indian Express Group. newindianexpress.com reserves the right to take any or all comments down at any time.

flipboard facebook twitter whatsapp