Journalism of Courage
Restrictions imposed on Adani Ports amp; Economic Zone Ltd and Nagarjuna Agrichem,as also their directors and promoters,for not meeting Sebi8217;s minimum public shareholding norms have been revoked by the market regulator,as they have now complied with the directions. While Adani Ports complied with the guidelines after Sebi8217;s deadline of June 3,the other company had met the norms on the last day itself but failed to intimate the regulator and bourses about the same on time.
The Securities and Exchange Board of India Sebi had imposed various restrictions on 105 firms and their promoters and directors on June 4 after the expiry of deadline for achieving minimum 25 per cent public holding. The regulator had frozen the voting rights and corporate benefits of promoters and directors of these companies and barred them from holding any new position on boards of listed firms and also,among others. It had also warned of further actions including levy of monetary penalties,initiation of criminal proceedings,restricting the trading activities of related stocks and other possible directions.
In Nagarjuna Agrichem case,Sebi said the company has complied with the 25 per cent public shareholding norms on June 3,2013,last date prescribed for compliance. However,the firm failed to intimate the regulator about the same on time as it had sent the message through courier service. 8220;Having achieved compliance on the last day,the company should have been equally serious in disseminating timely information regarding its compliance to Sebi and the BSE through faster communication modes like e-mail,facsimile message,etc,8221; the regulator noted. After considering facts that these companies have complied with the minimum public shareholding norms,Sebi said,it has revoked the directions issued vide the interim order dated June 4,2013 against the company,Nagarjuna Agrichem and Adani Ports amp; Economic Zone their directors,promoters and promoter group,with immediate effect.
