SEBI slaps Rs 10-lakh fine on Tata Steel

New Delhi, December 7

SEBI today imposed a penalty of Rs 10 lakh on Tata Steel for delay in making necessary disclosure about its increased shareholding in a group firm, Tinplate Company of India Ltd.

Tata Steel currently holds nearly 75% in Tinplate, a separately listed group firm, which is among the country’s largest producer of tinplate and its products are used for canning and packaging of processed foods, paints, beverages, dairy and other products.

In an order passed today, SEBI said Tinplate in September 2009 had announced an issue of 4,31,90,851 shares on a rights basis to its existing shareholders, together with the issue of 1,79,96,188 fully convertible debentures in the ratio of 5 fully convertible debentures for every eight shares. — PTI