ICICI Securities settles matter with Sebi on alleged non-compliance

ICICI securities has settled a matter with the capital markets regulator on alleged non-compliance of merchant bankers’ regulations. 

The broking outfit agreed to pay Rs 69.82 lakh for settling the charges. 

The Securities and Exchange Board of India (Sebi) alleged that the company had failed to undertake due diligence to ensure that the object of an issue was supported by documentary evidence, contradictory statements in draft documents and news articles, and questionable site visit reports. These findings were from an inspection conducted by Sebi between April 2020 and March 2022.

Following the show-cause notice, ICICI Sec filed the settlement application in November 2023. Along with the payment of the settlement amount, ICICI Sec has also issued caution letters to the officers in default, which the firm submitted to Sebi. Under the settlement norms of Sebi, entities can settle a matter by paying an amount, usually decided by a committee of Sebi.