SEBI finds grave violations in Omaxe's minimum public shareholding compliance
What happened
SEBI investigated Omaxe regarding its compliance with Portfolio Management Services requirements. The regulator found grave violations concerning minimum public shareholding, stating the misconduct undermined market integrity and investor protection. The investigation found that ₹46.50 crore, originating from Omaxe and group entities, was routed through DVM Realtors Pvt Ltd, Garv Buildtech Pvt Ltd, and Jeet Builders Pvt Ltd to acquire Omaxe shares during 2013 offer-for-sale transactions.
From moneylife.in
Why it matters
The findings indicate that the shareholding pattern was misrepresented, misleading investors and the market regarding the true ownership structure of Omaxe. The violations specifically relate to the prescribed 25% MPS requirement.
Portfolio Management Services and Mutual Funds must comply with SEBI regulations.
From moneylife.in
Who's involved
- companyThe company subject to the investigation by SEBI
Keep exploring
Part of
Portfolio Management Services and Mutual Funds must comply with SEBI regulations.Also in this story
- Thirty-nine investment advisers failed to pay required renewal fees.
- A mandatory three-year lock-in period is now in place for ELSS SIP investments, governed by SEBI and the Income Tax Act.
- SEBI registers portfolio managers for PMS, with applications including EPFO using PMS for retirement corpus management.
- SEBI mandated monthly stress tests and published fund performance data for various mutual funds in India.
The entities involved
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company
legal entity representing an association of people, whether natural, legal or a mixture of both, with a specific objective