Bizbits

Golden Forest taken to court

Mumbai 8212; SEBI has dragged plantation company Golden Forest to court as a measure of abundant caution to ensure that it complies with Section 11 b of the Sebi Act.

Sebi which moved the Mumbai High Court on January 21 has sought the court8217;s intervention to prevent Golden Forest from making any payments to promoters and ensuring that monetary transactions are limited to meeting day-to-day requirements. It had already, in its capacity as a watchdog of the sector, warned the company against non-compliance of Section 11b of the Sebi Act.

Chandigarh-based company had already collected more than Rs 1,000 crore in deposits without possessing proper assets to match the collection. Following Sebi8217;s petition, the court had passed an interim order against the company on January 22, asking it to comply with Sebi8217;s order. The case came up for hearing on January 29 but was adjourned till February 16.