Page 3 - Penalty

I-T dept says delayed SFT filing attracts penalty; check details here

The report also added that certain capital market players and foreign exchange dealers are also required to file the annual report

RBI imposes Rs 85 lakh penalty on Central Bank of India for non-compliance

The RBI on Friday said it has imposed a penalty of Rs 84.50 lakh on Central Bank of India (the bank) for non-compliance with certain provisions of norms related to frauds classification and reporting. The Reserve Bank had conducted statutory inspection for supervisory evaluation of the bank with reference to its financial position as on March 31, 2021. Examination of the reports revealed that the public sector lender had failed to report as fraud to RBI certain accounts within seven days of decision of Joint Lenders' Forum (JLF) to declare the accounts as fraud. It had recovered SMS alert charges from its customers on flat basis rather than on actual usage basis. The RBI had issued a notice to the bank advising it to show cause as to why penalty should not be imposed on it for failure to comply with the directions. "After considering the bank's reply to the notice and oral submissions made during the personal hearing, RBI came to the conclusion that the charge of non-compliance wi

Railways fined 36 million ticketless passengers, earned Rs 2,200 crore

According to media reports, earlier in 2019-2020, 11 million people were caught travelling either without a ticket or with a wrong ticket. In 2021-2022, the tally, however, jumped to 27 million

Sebi slaps Rs 41 lakh fine on 3 entities for violating market norms

Markets regulator Sebi on Tuesday slapped fines totalling Rs 41 lakh on three entities for flouting regulatory norms in the matter of Alps Motor Finance Ltd. The regulator imposed a fine of Rs 20 lakh on Brij Kishore Sabharwal, Rs 15 lakh on Himanshu Agarwal and Rs 6 lakh on Alps Motor Finance Ltd (AMFL). The order came after Sebi carried out an investigation to ascertain possible misutilisation of proceeds of the preferential allotments made by AMFL. Alps had made six preferential allotments during the period June-August 2013. The period of investigation was from June-August 2013. In its probe, Sebi's Adjudicating Officer Amit Kapoor said, "I note that the preferential allotment and disbursal of loans out of the proceeds of preferential issue took place during the tenure of the Noticees (Sabharwal and Agarwal) as directors, and that they were signatory of the bank account in which allotment proceeds were received and from which disbursal of loans was done." Therefore, Alps Motor

Sebi slaps Rs 25 lakh penalty on 5 entities for non-genuine trades

Capital markets regulator Sebi on Tuesday slapped penalties totalling Rs 25 lakh on five entities for indulging in non-genuine trades in the illiquid stock options segment on BSE. The regulator imposed a fine of Rs 5 lakh each on Chitrabai Vasantrao Nikam, Damayanti Jhunjhunwala, Nemichand Kasturchand Jain, Naresh Kumar Agarwal and Chandra Lakshmi Safety Glass Ltd (CLSG). Sebi had observed large scale reversal trades in illiquid stock options segment on BSE, leading to artificial volumes on the exchange. The regulator conducted an investigation into the trading activities of certain entities engaged in the segment from April 2014 to September 2015. The five entities that have been fined on Tuesday were among those who indulged in the execution of reversal trades. Reversal trades are alleged to be non-genuine in nature as they are executed in the normal course of trading, which leads to a false or misleading appearance of trading in terms of generating artificial volumes, the regula

DGCA slaps Rs 30 lakh fine, suspends AI pilot for letting friend in cockpit

Aviation regulator DGCA on Friday imposed a fine of Rs 30 lakh for lapses in addressing "safety sensitive issue" related to the incident of a pilot allowing a female friend in the cockpit during a Dubai-Delhi flight on February 27. Besides, the licence of the pilot who operated the flight has been suspended for three months, the regulator said in a statement.

Sebi levies Rs 3.5 mn penalty on 7 entities for non-genuine trades

Capital markets regulator Sebi on Tuesday levied fines totalling Rs 35 lakh on seven entities for indulging in non-genuine trades in the illiquid stock options segment on BSE. In seven separate orders, the regulator slapped a fine of Rs 5 lakh each on Pawan Kumar Sarawagi HUF, Subh Laxmi Trading Co, STIC Tradecomm, Starlight Devcon, Devesh Commosale, Devinder Kumar and Kishorechandra Gulabbhai Desai. The Securities and Exchange Board of India (Sebi) observed large-scale reversal of trades in the illiquid stock options segment of BSE, leading to the creation of artificial volumes on the bourse. It conducted an investigation into the trading activities of certain entities engaged in the segment on BSE from April 2014 to September 2015. According to Sebi, these seven entities were among those who indulged in the execution of reversal trades. The reversal trades are alleged to be non-genuine in nature as they are executed in the normal course of trading, which leads to a false or ...

Reserve Bank of India imposes penalty worth Rs 1.75 crore on HSBC

Earlier in April, the central bank had imposed penalties totalling Rs 44 lakh on four cooperative banks

NGT slaps Rs 10 cr fine on Northern Coalfields over storing of coal

The National Green Tribunal (NGT) has directed the Northern Coalfields Ltd (NCL) to pay a compensation of Rs 10 crore for violation of environmental rules by unscientific storing of around 1.5 lakh tonnes of coal in Sonbhadra district of Uttar Pradesh. The NGT was hearing a petition claiming the violation of environmental norms by unlawful dumping of coal in 35 bighas area belonging to the NCL, which was in the vicinity of a residential area. Noting a report of an earlier constituted panel along with a letter by the state pollution control board (PCB), a bench of chairperson Justice A K Goel said the dumping of coal was to the detriment of the environment and public health and the NCL had failed to take necessary measures to prevent air pollution. The bench also comprising judicial member Justice Sudhir Agarwal and expert member A Senthil Vel said the Rs 4.43 crore compensation determined by the state PCB was inadequate. ...the PCB has levied compensation on in-house formula which

RBI imposes Rs 44 lakh penalty on 4 co-operative banks for violation

The Reserve Bank has imposed penalties totalling Rs 44 lakh on four cooperative banks, including a Rs 16 lakh penalty on Chennai-based The Tamil Nadu State Apex Co-operative Bank, for contravention of various norms. A penalty of Rs 13 lakh has been imposed on Bombay Mercantile Co-operative Bank as it failed to transfer eligible amount to Depositor Education and Awareness Fund (DEAF) within the prescribed period and transferred the same with delay, RBI said in a release on Monday. In a separate release, the central bank said a penalty of Rs 13 lakh has been imposed on Janata Sahakari Bank, Pune for non-compliance with directions on 'Interest Rate on Deposits'. Penalty has been imposed on The Tamil Nadu State Apex Co-operative Bank as it failed to transfer eligible amounts to the Depositor Education and Awareness Fund within the prescribed period. It also failed to report a fraud to NABARD within the prescribed timeline and reported the same with delay. A monetary penalty of Rs 2 lak

Sebi imposes Rs 1.55-cr fine on 23 entities for flouting regulatory norms

Capital markets regulator Sebi on Friday imposed fines totalling Rs 1.55 crore on 23 entities for violating regulatory norms in the matter of trading by certain entities in mentha oil futures contracts at Multi Commodity Exchange (MCX). The regulator slapped a fine in the range of Rs 1 lakh to Rs 10 lakh on 23 entities. The order came after MCX had observed that certain entities are connected with North End Foods Marketing (NEFM) and on the basis of funding from NEFM they were holding more than 75 per cent of the total exchange deliverable stock of mentha oil held in the exchange. Further, MCX submitted its observations to Sebi in June 2018 and conducted a detailed examination to find out whether certain connected entities intended to corner the market on long side in mentha oil contracts thereby violating the position limits as prescribed by the regulator. In its order, Sebi's Adjudicating Officer Vijayant Kumar Verma said, "I find that Noticee 3 to Noticee 21, through a premedita

Sebi imposes Rs 5 lakh fine on Venugopal Dhoot for disclosure lapses

Sebi on Friday imposed Rs 5 lakh fine on Videocon Group Founder Venugopal Dhoot for not making disclosures about his interest in Supreme Energy as well as for not disclosing that Quality Techno Advisors Pvt Ltd (QTAPL) and Credential Finance Ltd (CFL) were related parties with respect to certain transactions. The order came after Sebi conducted an examination following media reports published in March 2018 regarding certain 'quid pro quo' arrangements between Venugopal Dhoot and former Managing Director and Chief Executive Director of ICICI Bank Ltd Chanda Kochhar in lieu of grant of certain credit facilities by ICICI Bank to some entities belonging to the Videocon Group. The scope of the examination was specifically to ascertain whether Dhoot violated the provisions of LODR (Listing Obligations and Disclosure Requirements) rules and provisions of listing agreement in respect of the submissions that were required to be made by Videocon Industries to the stock exchanges. In its order

Sebi slaps penalties totalling Rs 36 cr on PNB Finance, CCCL, others

Sebi on Tuesday imposed penalties totalling Rs 35.67 crore on PNB Finance and Industries Ltd, Camac Commercial Company Ltd and various other entities, including promoters Samir Jain and Meera Jain who have also been barred from the securities market. Apart from the market ban, Samir Jain and Meera Jain have been restrained from holding any key managerial position or associating with any listed public company. These restrictions will be in place till the two companies comply with the minimum public shareholding requirement under Sebi norms, according to two separate orders. Listed companies are required to have at least 25 per cent public shareholding. As per Sebi, the two companies did not make adequate disclosures about their promoter entities. The companies, listed on Calcutta Stock Exchange, have also been directed to disclose details about their promoters. Samir Jain was the Vice Chairman and Managing Director of Bennett Coleman and Co. Limited (BCCL) at the relevant point of t

RBI imposes Rs 30 lakh penalty on Karur Vysya Bank for non-compliance

The RBI on Friday said it has imposed a penalty of Rs 30 lakh on Karur Vysya Bank for non-compliance with certain provisions related to fraud classification and reporting by commercial banks. In a statement, the Reserve Bank said a Select Scope Inspection (SSI) of the bank was conducted by it from February 21, 2022, to March 4, 2022. An examination of the SSI report and all related correspondence pertaining to the same revealed that the bank failed to report a few accounts as frauds to the RBI within a week of the respective Joint Lenders' Forum (JLF) decisions to do so, the central bank said. In furtherance to the same, a notice was issued to Karur Vysya Bank, advising it to show cause as to why a penalty should not be imposed on it for failure to comply with the directions issued by the RBI. After considering the bank's reply, oral submissions and additional submissions made by the bank, the RBI came to the conclusion that the charge of non-compliance with the directions was ...

RBI imposes Rs 500,000 fine on HDFC for non-compliance of provisions by NHB

The Reserve Bank of India on Friday said it has imposed a penalty of Rs 5 lakh on Housing Development Finance Corporation Limited (HDFC) for non-compliance with certain provisions issued by the National Housing Bank (NHB). Giving details, the Reserve Bank of India (RBI) said a statutory inspection of the company was conducted by NHB with reference to its financial position as on March 31, 2020. It was revealed, inter alia, that the company failed to transfer matured deposits of certain depositors to designated bank accounts of such depositors during the period 2019-20, the RBI said in a statement. In furtherance to the same, a notice was issued to the company advising it to show cause as to why penalty should not be imposed on it for failure to comply with the directions, as stated therein. "After considering the company's reply to the notice, additional submissions made by it and oral submissions made during the personal hearing, RBI came to the conclusion that the charge of ...

Sebi imposes Rs 62 lakh fine on 6 entities for fraudulent trading

Capital market regulator Sebi on Tuesday imposed fines totalling Rs 62 lakh on six entities for indulging in fraudulent trade practices in the shares of North Eastern Carrying Corporation Ltd (NECC). The regulator slapped a fine of Rs 15 lakh on Realstep Agencies, Rs 10 lakh each on Utkarsh Jain, Vanya Jain (promoters of NECC), Sairabanu Mohd Rafiq Fanaswala and Malatiben Ashokbhai Darji and Rs 7 lakh on Charamsukh IT Marketing. The order came after Sebi carried out an investigation in the scrip of NECC for the period from December 2016 to April 2017. It was alleged that Utkarsh, Vanya, Realstep, Fanaswala, Darji and Charamsukh IT Marketing had violated the provisions of PFUTP (Prohibition Of Fraudulent And Unfair Trade Practices) norms. The regulator found in its investigation that Utkarsh and Vanya sold shares and created misleading appearance of trading in the market for the days on which such trading took place. The trades bypassed the normal market mechanism, affecting intere

Sebi levies Rs 11 lakh penalty on 7 entities for violating market norms

Capital market regulator Sebi on Monday levied fines totalling Rs 11 lakh on seven entities for flouting regulatory norms in the matter related to SS Organics Ltd (now known as Oxygenta Pharmaceutical Ltd). The regulator slapped a fine of Rs 5 lakh on SS Organics Ltd (SSOL) and Rs 6 lakh on six individuals -- Sai Sudhakar Vankineni, D Sadasiva Reddy, Gunreddy Krishna Reddy, Muralidhar Rambathri, Rajasekhar Reddy Puchakayala and Raghavender Rao. The order came after Sebi conducted an examination in respect of the process followed by SSOL for approval and disclosure of related party transactions with ARR Capital Investment Pvt Ltd. The focus of the examination was to ascertain if there was any possible violation of LODR (Listing Obligations and Disclosure Requirements) rules. The regulator found that a loan transaction of Rs 15 crore executed between ARR and SSOL, which was further extended to Rs 35 crore, was more than the turnover of the firm for FY2019-20. Hence, the transaction

Sebi penalises PMIA, directors for Rs 28 lakh for violating market norms

Sebi on Wednesday levied penalties totalling Rs 28 lakh on Pinnacle Market Investment Advisory (PMIA) and its directors for violating regulatory norms. PMIA is a Sebi-registered Investment Adviser (IA) and its directors are Abhishek Patel, Shekhar Mishra and Parul Sahu. The regulator slapped a fine of Rs 13 lakh on PMIA and Rs 5 lakh each on Patel, Mishra and Sahu. In addition, Sebi directed PMIA and its directors to resolve the complaints pending against Pinnacle in SCORES within seven days and further settle pending refunds within thirty days. Also, the regulator restrained them from the securities market and also restricted them to issue prospectus, offer document or solicit money for a period of three years. Further, the regulator prevented PMIA and its directors from selling their assets, properties and mutual funds held by them in demat and physical form for other than the purpose of making the refunds. The order came after Sebi received multiple complaints against PMIA. T

Paris-New Delhi flight incidents: DGCA slaps Rs 10 lakh fine on Air India

Aviation regulator DGCA on Tuesday imposed a fine of Rs 10 lakh on Air India for not reporting two incidents of unruly passenger behaviour onboard a Paris-New Delhi flight in December last year. This is the second time in less than a week that the watchdog has taken enforcement action against the airline in connection with unruly passenger behaviour. In a statement on Tuesday, DGCA said the incidents of passenger misbehaviour occurred on the AI-142 flight from Paris to New Delhi on December 6, 2022. One drunk passenger was caught smoking in the lavatory and not adhering to the crew instructions, and another passenger allegedly relieved himself on a vacant seat and blanket of a fellow female passenger when she went to the lavatory, it said. "Enforcement action in the form of a financial penalty of Rs 10,00,000 has been imposed on Air India for not reporting the incident to DGCA and delaying in referring the matter to its Internal Committee, which is a violation of applicable DGCA Ci

Amazon faces over $60K penalty for unsafe warehouse work conditions

US regulators have found that three Amazon warehouse facilities exposed workers to "ergonomic hazards", including putting them at high risk for lower back injuries and other musculoskeletal disorders