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Sebi refuses to lift ban on Swastik Surfactants in MPS case

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Press Trust of India New Delhi
Last Updated : May 02 2016 | 8:43 PM IST
Markets regulator Sebi today refused to revoke the restrictions it had imposed on Swastik Surfactants for not complying with minimum public shareholding (MPS) norms.
The Securities and Exchange Board of India (Sebi), in June 2013, had imposed various curbs on 105 firms, including Swastik Surfactants, their promoters and directors for not meeting the minimum 25 per cent public holding within the June 3 deadline of the same year.
The regulator had frozen the voting rights and corporate benefits of promoters/directors of these companies and barred them from holding any new position on boards of listed firms, among others.
It had also warned the companies of further actions, including levy of monetary penalties, initiation of criminal proceedings and restricting the trading activities of related stocks.
It had also warned of further actions, including levy of monetary penalties, initiation of criminal proceedings and restricting the trading activities of related stocks.
In an order passed today, the regulator has confirmed the directions issued through the interim order in June, 2013 against Swastik Surfactants, its directors, promoters and promoter group.

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This order would remain in force till further directions.
As per the last disclosure made in June 2011, the promoters and promoter group of the company held 94.35 per cent and the public shareholders held 5.65 per cent.
In an another order, Sebi has vacated the restrictions imposed on Sanjiv N Shah, who was an Independent Director at Andhra Pradesh Tanneries, and warned him to be cautious in future. The case relates to the company not complying with minimum public shareholding norms.
Shah resigned from the company on December 10, 2013.
"I find it appropriate and reasonable to vacate the directions issued to him vide the interim order with a warning that just by being an Independent Director, his responsibility in the non-compliance of the regulatory compliances is not diminished in any way and advise him to be cautious in future," Sebi Whole Time Member Prashant Saran said in an order.

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First Published: May 02 2016 | 8:43 PM IST

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