Markets regulator SEBI has ordered attachment of bank and demat accounts as well as mutual fund folios of Santowin Corporation and its promoter to recover dues of over Rs 23 lakh.
In two separate orders on December 24, 2014, the Securities and Exchange Board of India (SEBI) had imposed penalties of Rs 10 lakh and Rs 7 lakh on the firm and its promoter, respectively, for violating capital market norms including PIT (Prohibition of Insider Trading) Regulations.
In case of Santowin Corporation, the pending dues totalling Rs 13,55,411 include the initial fine of Rs 10 lakh, a 12 percent per annum interest from the date of the regulator's 2014 order till December 6, 2017, amounting to Rs 3,54,411 and a recovery cost of Rs 1,000.
With regard to the promoter of the firm, Akshat Ashok Gupta, the pending dues totalling Rs 9,49,088 include the earlier penalty of Rs 7 lakh, a 12 percent per annum interest from the date of the regulator's 2014 order till December 6, 2017, amounting to Rs 2,48,088 and a recovery cost of Rs 1,000.
SEBI has directed the banks to attach all accounts including lockers held by both the entities, according to two separate orders dated December 6.
Also, the watchdog has directed National Securities Depository and Central Depository Services (India) and all the mutual funds to attach their demat accounts and folios.
In two more orders, also dated December 6, the regulator has ordered attachment of bank and demat accounts and mutual fund folios of Chanchal Jain and Kirit V Dave to recover dues of Rs 3,84,926 and Rs 2,14,282, respectively.SEBI has been given powers to attach properties and bank accounts, among other things, of entities which have failed to comply with the regulator's directions involving payment of penalties and other dues.