Rejects ‘double jeopardy’ defense
SEBI, Adjudicating officer penalizes Tumus Electric Corporation Ltd. (‘Noticee Co.’) for continuous delay of 15 years in making disclosures under Reg. 8(3) of Takeover Code (relating to ‘disclosure by listed company within prescribed time from end of FY and record date’); Rejects Noticee co.’s contention that disclosures under Reg. 8(3) were dependent on disclosures submission under Reg. 8 (1) & 8 (2), observes that such disclosures are independent as disclosures under Reg. 8(3) are on yearly basis irrespective of change in shareholding of person / promoters; Rejects Noticee co.’s submission that co. promoter have already been penalized under adjudication proceeding and any penalty on Noticee Co. would be double jeopardy, holds that “two separate requirement of disclosures viz. one from promoter and another from company, has been mandated under Takeover Code which are independent of each other”; Relies on SAT rulings in Hybrid Financial Services Ltd. wherein it was held that persons holding 15% and more shares are obligated to make disclosure even when there is no change in the shareholding:SEBI
The order is passed by Rachna Anand, SEBI Adjudicating Officer
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