- ICICI Prudential AMC and two entities settled SEBI case by paying Rs 14.35 lakh
- The case involved delays in winding up a venture capital scheme and fund distribution
- The scheme launched in 2013 had an extended tenure until its expiry in September 2023
ICICI Prudential Asset Management Company (AMC) and two other entities have settled a case with Securities And Exhcange Board of India (SEBI), concerning regulatory violations pertaining to delays in winding up a venture capital scheme and distributing proceeds to investors, after paying Rs 14.35 lakh.
Apart from ICICI Prudential AMC, ICICI Prudential Venture Capital Fund, and ICICI Prudential Trust filed suo-motu settlement applications with SEBI, proposing to settle the alleged violations by "neither admitting nor denying the findings of facts and conclusions of law".
The case relates to ICICI Prudential Venture Capital Fund launching a scheme --ICICI Prudential Venture Capital Fund- Real Estate Scheme- I. The Scheme was constituted with an initial tenure of four years commencing on Sept. 26, 2013, with a provision for two extensions of one year each, SEBI noted in its order dated April 16.
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Subsequently, the term was extended for two years until September 2019. The scheme's tenure was then further expanded by two extensions of two-year, lasting until Sept. 25, 2023, when the scheme finally expired. The liquidation and exit of all investments completed on Dec. 25, 2023.
Accordingly, the winding-up process was delayed by approximately four years before the proceeds could be distributed to the investors, SEBI said.
The applicants filed the present applications to settle proceedings that may be initiated against them for the alleged violations. Following receipt of the settlement applications, SEBI's committee recommended that the applicants jointly and severally pay Rs 14.35 lakh. Accordingly, the applicants remitted the amount.
"...it is hereby ordered that any proceedings that may be initiated for the violations ... are settled in respect of the applicants," SEBI said.
(This story has not been edited by NDTV staff and is auto-generated from a syndicated feed.)
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