Taking strict action against illegal money pooling schemes, Sebi today barred Abyss Assam Real Estate Ltd and its directors from the securities markets with immediate effect.
The ban will continue till further orders.
The Securities and Exchange Board of India (Sebi) found that the company had raised Rs 1.21 crore by issuing preference shares to 1,395 investors in 2008-09 and 2009-10.
Since the firm made issues securities to over 50 persons, which under the rules made it a public issue of debt securities and hence would require a compulsory listing on a recognised stock exchange. It was also required to file a prospectus, among others, which it failed to do.
Accordingly, Sebi, has restrained the firm and its directors --Dhanjit Gayary, Aynal Hoque Talukdar, Abdul Maleque Miah and Mazibar Rahman -- from mobilising any fresh funds from investors through preference shares or through the issuance of any other securities in any manner whatsoever, either directly or indirectly till further directions.
They have been barred from accessing the securities market and further prohibited from buying, selling or otherwise dealing in the securities market, either directly or indirectly, till further directions.
In addition, Sebi has imposed several restrictions on them.
These directions will take effect immediately and will be in force until further orders.
