SEBI Lines Up 22 Properties For Auction In July To Repay Investors
SEBI appoints committee to auction West Bengal properties at a reserve price of Rs 45.47 crore.
The market regulator SEBI announced on Monday that it has scheduled an auction of 22 properties belonging to seven firms, such as Pailan Group, Vibgyor Group, and GBC Industrial Corp, on July 8, aiming to recoup funds illicitly obtained from investors.
In addition, the properties of Tower Infotech Group, Waris Group, Teacher's Welfare Credit and Holding Ltd., and Annex Infrastructure India Ltd. will also be auctioned. The process for sale of the companies' assets has been initiated by the regulator, following the orders of the Calcutta High Court.
Justice Sailendra Prasad Talukdar has been appointed as the one-man committee for liquidating the assets of the firms and repaying the investors. The move is part of SEBI's effort to recover investors' money.
The properties include plots and a flat in West Bengal and they will be auctioned at a reserve price of Rs 45.47 crore, according to a notice issued by the Securities and Exchange Board of India.
Adroit Technical Services Ltd. has been engaged by the regulator to assist it in the sale of the properties.
Of the 22 properties, 10 belong to the Pailan Group, while four are of the Vibgyor Group, three of GBC Industrial Corp., two belong to Tower Infotech Group and one each are of Waris Group, Annex Infrastructure India Ltd., and Teacher's Welfare Credit and Holding.
The market watchdog, on behalf of the committee, is inviting bids for the sale of properties.
SEBI said the auction will be conducted online on July 8 from 11 a.m. to 1 p.m.
These firms had mopped up money from investors without complying with regulatory norms.
Pailan Group—Pailan Agro India Ltd. and Pailan Park Development Authority Ltd.—had mobilised over Rs 98 crore from the public through the issue of non-convertible secured redeemable debentures.
Vibgyor Allied Infrastructure Ltd. had issued optionally fully convertible debentures in 2009 and raised Rs 61.76 crore.
Tower Infotech had raised nearly Rs 46 crore by issuing non-convertible debentures and redeemable preference shares between 2005 and 2010.
(With Text Inputs From PTI)
