Market regulator Sebi today restrained Sai Prakash Organic Food Ltd and its directors from raising fresh capital from the public with immediate effect and directed the company not to launch any new schemes.
The Securities and Exchange Board of India (Sebi) has prima-facie found that Sai Prakash Organic Food Ltd has been illegally raising money from public through 'collective investment schemes' (CIS).
Accordingly, Sebi directed the company and its promoter/ directors -- Pushpendra Singh Baghel, Pushpanjali Singh Baghel, Ranvajay Pratap Singh Baghel, Mragendra Singh Baghel, heerendra Krishan Pratap and Shahendra Singh Baghel-- not "to collect any fresh moneys from investors from its existing scheme" and and also asked them "not to launch any new schemes or plans or float any new companies to raise fresh money."
Additionally, the company and its directors have been directed not to dispose any assets obtained from funds collected, while the entities also cannot divert money raised from the public.
Further, the entities have been asked to "immediately submit the full inventory of the assets including land obtained through money raised by Sai Prakash Organic Food" as well as furnish withing 15 days details related to the scheme.
These directions shall take effect "immediately and shall be in force until further orders in this regard.
