Zen Securities has settled a case related to alleged violation of stock broker norms with markets regulator Sebi after payment of Rs 47.6 lakh towards settlement charges.
Besides, Zen Securities also complied with the recommendations of a Sebi committee.
"The pending adjudication proceedings initiated against the noticee ... Is disposed of," Securities and Exchange Board of India (Sebi) said in a settlement order issued today.
The regulator had initiated adjudicating proceedings against Zen Securities for the alleged violation of stock brokers and sub brokers regulations.
While the adjudicating proceedings were in progress, Zen Securities had submitted an application with Sebi for settlement of the case.
The settlement terms after being considered by Sebi's internal committee were placed before the regulator's High Powered Advisory Committee (HPAC) which gave its recommendations.
Last month, the firm paid Rs 47.6 lakh towards settlemnt terms and also submitted an undertaking that there was no failure on its part in settlement of the funds and securities subsequent to the default period of June-December 2012, as recommended by the HPAC.
Earlier this month, Zen Securities also submitted a certificate from a Chartered Accountant with regard to the settlement of the "rest 2 per cent of the clients' funds" in the matter.
Accordingly, Sebi has disposed of the adjudication proceedings initiated against the firm.
However, Sebi said that enforcement actions, including commencing or reopening of the proceedings, could be initiated if any representation made by the firm is discovered to be untrue.
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