Mumbai (ABC Live): Shri S Raman, Whole Time Member, Securities and Exchange Board of India (SEBI), has passed an order dated November 20, 2015 against the past director of Falkon Industries India Limited (FIIL), viz. Shri Akmal Sekh inter-alia directing that Shri Akmal Sekh is prohibited from issuing prospectus or any offer document or issue advertisement for soliciting money from the public for the issue of securities, in any manner whatsoever, either directly or indirectly, till further orders;
The abovementioned past Director of FIIL is restrained from accessing the securities market and further prohibited from buying, selling or otherwise dealing in the securities market, either directly or indirectly, till further directions;
Further, the abovementioned past Director of FIIL shall provide a full inventory of all his assets and properties.
The company was engaged in fund mobilizing activity through issue of Redeemable Preference Shares(RPS) to more than 49 persons without complying with relevant provisions of the Companies Act, 1956. The above mentioned person was earlier a Director of FIIL during the offer of RPS.
The full text of the order is available on the website: www.sebi.gov.in
It is to mention that
Sebi has barred Falkon Industries India andRavi Kiran Realty India and from raising funds through issue of securities and has also barred the companies and their respective directors from dealing in the securities market, till further directions.
The capital market regulator found that Falkon Industries India had raised money through issue of ‘Secured Redeemable Debentures’, while Ravi Kiran Realty had mobilised public money via issue of ‘Redeemable Preference Shares’.
