Rethink Rs 7,000-cr fine on PACL, Sebi told
New Delhi, November 1
In the high-profile PACL case of illegal fund mobilisation, the Securities Appellate Tribunal (SAT) has set aside market regulator Sebi’s order slapping a fine of over Rs 7,000 crore against the company and four directors and directed the regulator to “reconsider the matter afresh”.
“... the impugned orders are set aside and Sebi is directed to pass fresh order on merits and in accordance with law,” SAT said in an order passed on appeals filed by PACL Ltd and four others challenging the Sebi order dated September 22, 2015.
Taking note of submission made by Sebi’s counsel that the regulator “is willing to reconsider the matter afresh”, the tribunal said “all the contentions of both parties are kept open”.
In its biggest-ever fine, Sebi in September last year had imposed a penalty of Rs 7,269.5 crore on PACL Ltd and its four directors for illegal and fraudulent mobilisation of funds from the public, saying the company deserves “maximum penalty” for such large-scale duping of the common man. — PTI
