Sebi has lifted the ban imposed on an individual for alleged violations of public issue norms in the matter related to AM Fund Managers (AMF).
The market ban on one Saswat Sahoo has been lifted after the regulator concluded that he was only "a salaried employee" of AMF and "not associated with AMF as a director or promoter".
The Sebi's latest ruling follows a direction from the Securities Appellate Tribunal (SAT), which last year cancelled the ban and asked the watchdog to again look at the matter involving the individual.
In December 2015, Sebi had found that AMF as well as its promoters and directors raised Rs 1.21 crore by allotting redeemable preference shares between 2009-10 and 2012-13 without complying with the public issue norms.
Sahoo had challenged the order submitting that he was not promoter of AMF at any point of time and was only a salaried employee.
Subsequently, SAT had set aside the order with respect to Sahoo and restored the matter to the regulator.
Sebi, through its 2015 order, had barred the entities, including Sahoo, from the securities market for four years from the date of completion of refund to investors.
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