Sebi has decided to sell shares held by nine entities in various companies to recover penalties worth nearly Rs 4 crore imposed on them for violations of securities market norms.
The share sale would take place on the National Stock Exchange (NSE) and BSE from November 20, the Securities and Exchange Board of India (Sebi) said in separate orders dated October 21.
Sebi said that the transactions in the shares would take place “till entire dues under the certificate are recovered in full or till the attached shares of the scrips are exhausted, which ever is earlier”.
The market regulator had issued attachment orders against nine entities - Saral Website, Monalisha Securities, Usha India, Usha Ispat, Ankur Cultivators, Nisha Aggarwal, Pradeep Aggarwal, Harish Sisodia and Gordon Herbert.
However, Sebi said that these entities had failed to pay the dues.
Sebi has to recover as much as Rs 2.27 crore from Gordon Herbert and an amount of Rs 1 crore from Ankur Cultivators.
Besides, the regulator has to recover dues ranging from Rs 1.28 lakh to Rs 20 lakh from the rest of the entities.
“The sale will be stopped if the arrears mentioned in the said certificate along with interest costs (including the costs of the sale) are paid by the defaulter to the recovery officer,” Sebi said in the orders.
The capital markets watchdog had begun initiating attachment proceedings against defaulters, including individuals and companies, nearly one year ago as part of the greater powers granted by the government.
These proceedings involve attachment of equity shares, bank accounts, movable and non-movable properties, among others.
