SAVE EARTH PLANTATIONS LTD Vs. STATE
SECURITIES APPELLATE TRIBUNAL
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(1.) M/s Save Earth Plantations Ltd (hereinafter referred to as the company) mobilised funds from the investors/public under the collective investment schemes being operated by it. Pursuant to the press release and the public notice issued by Securities and Exchange Board of India (hereinafter referred to as SEBI) on November 26, 1997 and December 18, 1997, the company filed certain information/details in respect of its schemes with SEBI regarding its collective investment schemes.
(2.) Subsequent to the notification of the SEBI (Collective Investment Schemes) Regulations, 1999 (hereinafter referred to as the said Regulations) on October 15, 1999, the company applied for registration under the provisions of the said Regulations. The application for registration and other details connected with the application were examined by SEBI, and found to be unsatisfactory. In view of the same, various opportunities of being heard were also granted to the company. The company was granted a hearing on November 9, 2000 but did not appear for the said hearing and instead sought for an adjournment. Thereafter the company was granted another hearing on June 14, 2001 but did not appear for the said hearing and requested for another date of hearing. Thereafter, a hearing was granted on July 9, 2001 and was attended by Shri Sanjay Kumar Mishra , Director and Shri R. N. Prasad, Director. However as the company was not able to fulfill certain requirements of the Regulations for grant of registration, its application seeking registration was rejected by SEBI on November 27, 2001.
While intimating the grounds of rejection of the application of the company, SEBI vide its letter dated November 28, 2001, advised the company that pursuant to the rejection of its application, the company, should wind up its existing Collective Investment Scheme(s) and make repayment to the investors in the manner specified in Regulation 73 of the said Regulations.
(3.) ACCORDINGLY, the company was required to send an information memorandum to the investors, who had subscribed to its scheme(s), within 2 months from the date of receipt of the intimation from SEBI. Furthermore, on completion of the winding up and repayment to the investors in terms of Regulations 73(8) & 73(9) of the Regulations, and as per the intimation given vide public notice no davp 99/716, the company was required to file the winding up and repayment report in the format prescribed by SEBI so as to reach SEBI within 31/2 months of the date of the information memorandum.;
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