Sebi orders freezing of bank accounts of one individual

Market regulator Sebi today directed banks to freeze the accounts of one Tejas Ghelani to recover penalty worth Rs 23 lakh that was imposed on him for violating securities norms.
The Securities and Exchange Board of India (Sebi) in 2009 had imposed the penalty on Ghelani for violating capital market norms in the matter of K Sera Sera Productions.
However, Ghelani did not pay the pending dues and consequently Sebi initiated action against him and directed various banks in the country to attach accounts held by him.
In the notice issued to the banks today, Sebi has said that it had "sufficient reason" to believe that the defaulters may dispose of the amount and securities held in the bank.

Accordingly, Sebi has ordered banks to attach "all accounts by whatever name called of the defaulter, either singly or jointly with any other persons".
Sebi has also asked banks to attach the lockers held by him as well as "all other amount/proceeds due or may become due to the defaulter or any other money held or may subsequently hold for or on account of defaulter".
It has further ordered with immediate effect that no debit would be made in these accounts until further directions from the market regulator. However, the credits, if any into the account maybe allowed, Sebi said.

Sebi has also asked for details of the accounts held by him, copy of his account statements, among others.