Sebi Directs Attachment Of Bank And Demat Accounts Of Reliance Big Entertainment

The Securities and Exchange Board of India on Monday ordered the attachment of bank accounts as well as shares and mutual fund holdings of Reliance Big Entertainment Pvt. to recover dues of Rs 26 crore.

Before this, the markets watchdog on Nov. 14 sent a notice to Reliance Big Entertainment (now known as Rbep Entertainment Pvt) and asked the entity to pay dues within 15 days in a case pertaining to illegal diversion of funds in the matter of Reliance Home Finance Ltd.

The attachment notice came after Reliance Big Entertainment failed to pay the fine imposed on it by the markets watchdog.

The SEBI has ordered the attachment of bank, demat accounts and mutual fund folios of the entity to recover the pending dues.

Going by the notice, dues of Rs 26 crore were pending with Reliance Big Entertainment, which included interest and recovery costs.

As per the notice, SEBI said there is sufficient reason to believe that the defaulter may dispose of the bank accounts and securities in the demat accounts or mutual fund folios and "realisation of the amount due under the certificate would, in consequence, be delayed or obstructed".

Accordingly, SEBI asked all banks, depositories, and mutual funds not to allow any debit from the accounts.

Last week, the regulator sent attachment notices to three entities to recover dues totalling Rs 78 crore for the illegal diversion of funds from the firm.

The entities are, Adhar Project Management and Consultancy Pvt., Indian Agri Service Pvt. and Mohanbir Hi-Tech Build Pvt.

In August this year, the SEBI had barred industrialist Anil Ambani, 24 other entities, including former key officials of Reliance Home Finance, from the securities market for five years for diversion of funds from the company.

The SEBI has imposed a penalty of Rs 25 crore on Ambani and restrained him from being associated with the securities market including as a director or Key Managerial Personnel in any listed company, or any intermediary registered with the market regulator, for five years.

Also, the regulator barred Reliance Home Finance from the securities market for six months and slapped a fine of Rs 6 lakh on it.