Capital market regulator Securities and Exchange Board of India has imposed a penalty of Rs 7,269 crore on property developer PACL and four of its directors for not complying with rules on selling investment products to public. The Regulator says the company deserves “maximum penalty” for such large-scale duping of the common man. SEBI said PACL and its directors made an illegal gain of about Rs 2,400 crore from so-called collective investment schemes in less than one year.
SEBI asked the company and its directors to deposit the fine, which is three times the profit accrued to them, within 45 days of receiving the order.
The probe revealed that PACL and its four directors — Tarlochan Singh, Sukhdev Singh, Gurmeet Singh and Subrata Bhattacharya — had mobilised funds from the general public through illicit collective investment schemes including in the name of purchase and development of agriculture land.
PACL (From the Official Site)
- The PACL Group is popularly known with its brand name “Pearls”.
- PACL Limited was incorporated on 13th February 1996 with the registrar of companies, Jaipur, under the companies Act 1956
- PACL is involved in number of projects all over India.
- The company is also engaged in sale and purchase of agricultural land and supported with huge land bank.
Test Your GK
SEBI is headquartered in
Test Your English
What is the difference between Fine and Penalty?
