SEBI fines Rs. 8 lakh on Reliance Home
Finance for disclosure lapses
Capital markets regulator SEBI on Friday imposed a
penalty of Rs. 8 lakh on Reliance Home Finance for failing to make disclosures
pertaining to NCLT order issued in June 2021 to the stock exchanges.
The fine has to be paid within 45 days, the
Securities and Exchanges Board of India (SEBI) said.
In its order, SEBI noted that Reliance Home Finance
has not made disclosures with respect to the NCLT order dated June 21, 2021 and
also did not disclose information regarding appeals filed by it and Bank of
Baroda against the NCLT's order.
As per the NCLT's order, Reliance Home Finance was
directed to pay the interest on the debentures at the contractual rate,
calculated till realisation, within two months and redeem the debentures on
payment of the principal in three months thereafter.
Going by the order, the outstanding amount due and
payable in respect of the secured non-convertible debentures (NCDs) was more
than Rs. 2,850 crore.
The company was required to make the disclosures
within 24 hours of the passage of the order under SEBI's LODR (Listing
Obligations and Disclosure Requirements) rule.
"The Noticee (Reliance Home Finance) cannot be
absolved from making disclosures, as the same were disclosed in the annual
report or the information/event details being covered by the media or on
various websites.
"This cannot be considered as compliance of the
provisions of LODR Regulations, 2015, as the required disclosures were supposed
to be made by the Noticee to the exchanges," SEBI said.
Additionally, the firm has made delayed disclosures
with respect to the information regarding its debt resolution plan invitation
of Expression of Interest bid dated July 29, 2020, and approval of resolution
plan on June 19, 2021.
The disclosures were to be made not later than July
30, 2020 and June 20, 2021 respectively.
However, the company had made disclosures of the two
events to the exchanges on July 31, 2020 and June 21, 2021 respectively, with
delay on one day for each event.
Accordingly, the regulator has imposed "penalty
of Rs. 8 lakh on the noticee for the violation of provisions of LODR
Regulations, 2015 read with clause 2 of Listing Agreement".
www.business-standard.com
dt. 18-05-2024