PRASHANT SARAN - (1.) SECURITIES and Exchange Board of India (hereinafter referred to as 'SEBI'), had pursuant to a preliminary enquiry into the non -compliances with the public issue norms stipulated under the provisions of the Companies Act, 1956 including Sections 56, 60 and 73 thereof by the company, Alchemist Holdings Limited (hereinafter referred to as 'Alchemist' or 'the Company') in respect of offer of Redeemable Preference Shares (hereinafter referred to as 'RPS'), issued an ex -parte interim order dated September 20, 2013 (hereinafter referred to as 'the interim order') against the Company and its directors including Mr. Sunil Kanti Kar, Mr. Brij Mohan Mahajan, Mr. Balvir Singh, Mr. Sukrit Sood, Ms. Ashima Sood, Mr. Vikramaditya Singh and Mr. Chandra Shekhar Chauhan (hereinafter collectively referred to as 'noticees').
(2.) In view of such alleged contraventions committed by the Company and its directors, to safeguard the interest of investors and the assets/property acquired through the funds of such investors and to prevent the Company from further carrying on with its fund mobilizing activity under its offer and issue of RPS, the following directions were issued by SEBI vide the interim order : "... 31. For the aforesaid reasons, I, in exercise of powers conferred upon me by virtue of section 19 of the SEBI Act, issue the following directions under sections 11 and 11B thereof, by way of this ad -interim ex -parte order: - - (a) Alchemist Holdings Limited (PAN AAACM5575D) having its Registered office at 405, Jyoti Shikar Tower, Janakpuri District Complex New Delhi -110058 and its directors including Mr. Sunil KantiKar (DIN 00476819), Mr. Brij Mohan Mahajan (DIN 00031819), Mr. Balvir Singh (DIN 00139599), Mr. Sukrit Sood (DIN 00084077), Ms. Ashima Sood (DIN 00037854), Mr. Vikramaditya Singh (DIN 01865565) and Mr. Chandra Shekhar Chauhan (DIN 02517955) are hereby directed not to collect any money from investors till further orders; (b) The properties/assets which have been owned or acquired by Alchemist Holdings Limited shall not be disposed of by it without prior permission of SEBI; and (c) Alchemist Holdings Limited is hereby directed not to divert any funds raised by it from the public at large, kept in bank account(s) and/or in the custody of AHL. 32. This order is without prejudice to the right of SEBI to take any other action that may be initiated against AHL, its promoters and directors in accordance with law. 33. This order shall be also be treated as a show cause notice to Alchemist Holdings Limited and its directors including Mr. Sunil Kanti Kar, Mr. Brij Mohan Mahajan, Mr. Balvir Singh, Mr. Sukrit Sood, Ms. Ashima Sood, Mr. Vikramaditya Singh and Mr. Chandra Shekhar Chauhan who may show cause as to why appropriate actions under the SEBI Act should not be taken/issued against them for non -compliance with the provisions of the Companies Act including sections 56, 60, 69 and 73 of the said Act. ...... 35. This Order shall come into force with immediate effect and the directions issued hereinabove shall continue till further orders."
(3.) THE interim order advised the noticees to treat the same as a show cause notice to explain why appropriate action under the SEBI Act, 1992 (hereinafter referred to as 'SEBI Act') should not be taken/issued against them for the alleged non -compliance with the provisions of the Companies Act, 1956 including Sections 56, 60, 69, 73, etc. thereof. The interim order afforded opportunity to the noticees to file their reply in the matter and also for a personal hearing, if they so desired. The letters forwarding the interim order were delivered to the Company and its three directors namely Mr. Brij Mohan Mahajan, Mr. Vikramaditya Singh and Mr. Chandra Shekhar Chauhan. The letters issued to Mr. Sunil Kanti Kar, Mr. Balvir Singh, Mr. Sukrit Sood and Ms. Ashima Sood returned undelivered. Subsequently, the letters of these persons were forwarded to the Company for onward delivery to the respective directors.;