Uttam Galva case: SEBI passes consent order on 3 cos

Press Trust of India Updated - June 13, 2011 at 09:50 PM.

SEBI has settled and passed consent order in cases against three companies on payment of a total of Rs 7 lakh for their delay in disclosing details of their shareholding pattern in Uttam Galva Steels Ltd.

The cases against the three firms — Kredence Multi Trading Ltd, Archisha Investments Pvt Ltd and Sainath Trading Company Pvt Ltd — relates to their failure to adhere with SEBI's takeover norms.

The regulator said in separate orders that the consent applications “are settled as per consent term and SEBI shall not initiate any enforcement action” against the applicants for the delay in compliance.

The companies had been charged with delay of up to 12 years in making the disclosures. The matter involving the three companies took place in late 1990s and early 2000s.

In the case of Kredence Multi Trading Ltd (formerly Sanjug Trading Co Ltd), and Sainath Trading Company Pvt Ltd, the consent orders were passed on payment of Rs 2 lakh each, while it was Rs 3 lakh in the case of Archisha Pvt Ltd.

All the three firms had made separate applications for settlement of the matter and the SEBI high powered advisory committee had recommended the same on payment of settlement charges.

In a consent order, the company or person pays the settlement fee without denying or admitting the charges.

Published on June 13, 2011 16:05