MUMBAI: The Securities and Exchange Board of India (Sebi) on Monday modified its order against Subhash Chandra and Punit Goenka, and barred them from holding key managerial positions in at least four Zee group companies as well as in the merged entity of ZEEL and Sony Pictures Networks India till further directions.
Goenka has been restrained from becoming the Managing Director at the merged entity of Zee Entertainment Enterprises Ltd (ZEEL) and Sony Pictures Networks India, now known as Culver Max Entertainment. The deal is yet to be complete.
Passing the confirmatory order in connection with the case of alleged siphoning off funds of ZEEL, Sebi Chairperson Madhabi Puri Buch said the investigation by the watchdog in the case “shall be completed in a time-bound manner and in any event, within a period of eight months from the date of this order”.
In the interim order passed in June this year, Chandra and Goenka were barred from becoming a director or key managerial personnel (KMP) in any listed company but that direction has been modified now.
The interim order was challenged by the two individuals before the Securities Appellate Tribunal (SAT), which had rejected their pleas.
In the 91-page order on Monday, Buch said the interim order is being modified after considering the material on record, oral and written submissions of the entities. Till further directions, Chandra and Goenka have been barred from holding the post of director or KMP in ZEEL, Zee Media Corporation Ltd. Zee Studios Ltd (a wholly-owned subsidiary of ZEEL), Zee Akaash News Pvt Ltd. (a wholly-owned subsidiary of Zee Media Corporation Ltd).
Besides, they have been restrained from holding positions in any resultant company that is formed pursuant to a merger or amalgamation of the companies with any other company, wholly or in part.
Sebi bars Goenka from becoming Culver Max MD
Punit Goenka has been restrained by market regulator Sebi from becoming the Managing Director at the merged entity of Zee Entertainment Enterprises Ltd (ZEEL) and Sony Pictures Networks India, now known as Culver Max Entertainment. The deal is yet to be complete