Mumbai, Aug 29: The Securities and Exchange Board of India (SEBI) has directed New Delhi-based BVR Plantations Pvt Ltd not to collect any money from investors nor launch any new schemes. In his order passed on August 26, SEBI chairman G N Bajpai also directed the firm to refund money collected under the scheme with returns, which is due to investors as per the offer terms within a period of one month from the order date.
The market regulator in a statement here today said the firm neither applied for registration nor took steps for winding up of the scheme to repay the investors under SEBI (collective incentive schemes) regulations, 1999.
Sebi said it would initiate prosecution under section 24 of SEBI act, 1992, the entity and its officials concerned would be debarred from operating in the capital market and from assessing it for a period of five years.
Reference would also be made to state governments and local police to register cases against the firm and directors and also the department of company affairs to initiate the process of winding up of the entity if it fails to comply with the order, SEBI said. Bureau Report