Shah Investor's Home Ltd has settled with Sebi a case of alleged violation of public issue norms by paying over Rs 12 lakh towards settlement charges.
The proposed adjudication proceedings, in the case related to violation of provisions of the Companies Act as well as the Disclosure and Investor Protection (DIP) guidelines, was settled after the firm filed a settlement plea with the regulator "without admitting or denying the findings of fact and conclusion of law".
Sebi noted that a preferential allotment of equity shares made by the firm in February 2008 was in alleged violation of relevant provisions of the Companies Act and the DIP guidelines.
However, the firm in a meeting with the internal committee of Sebi proposed the settlement terms in March.
Thereafter, Sebi's High Powered Advisory Committee recommended the case for settlement on payment of Rs 12.18 lakh, which was subsequently approved by the regulator's panel of whole-time members, following which the firm remitted the amount.
"Accordingly, the possible proceedings that may be initiated for the defaults...are settled," Sebi said.
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It further said that enforcement actions, including restoring or initiating the proceedings, could be initiated if any representation made by the firm is found to be untrue.
In a separate order, an individual Sunil Rajdev settled a case of alleged violation of Substantial Acquisition of Shares and Takeovers (SAST) Regulations with Sebi by paying Rs 3 lakh.
The Securities and Exchange Board of India (Sebi) had conducted an examination in the scrip of Danube Industries Ltd and found that Rajdev allegedly delayed making the disclosures under the relevant provisions of SAST Regulations regarding change in his shareholding in Danube Industries.