Debt-laden Reliance Communications has settled a case with markets regulator Sebi over non-compliance with listing norms, together with alleged failure to promptly inform about curiosity cost default on debentures, in response to an order.
The firm, a part of the Anil Ambani group, additionally settled the problem of non-cooperation with the credit standing businesses and debenture trustee that was in violation of listing norms.
In an order on Friday, Sebi mentioned the case has been settled after cost of Rs 62.40 lakh in direction of settlement prices.
“The proceedings that could have been initiated for the defaults… are settled qua the applicant,” the order mentioned.
It additionally famous that Sebi shall not provoke any enforcement motion in opposition to the applicant.
The order comes after RCom filed a suo-moto software with Sebi to settle the case.
Under the settlement mechanism, an entity is allowed to settle prices by paying a penalty with out admission or denial of guilt.
One of the problems was about not informing the default within the cost of curiosity/ principal to the debenture trustee promptly. Another difficulty pertained to non-submission of data with respect to vary in credit standing and never sending notices regarding the conferences of Non-Convertible Debentures (NCD) holders to the debenture trustee.
As per the order, the authorised representatives of the corporate had a gathering with the inner committee of Sebi on March 9, whereby the settlement phrases have been deliberated.
Thereafter, Sebi’s High Powered Advisory Committee advisable the case for settlement on the cost of the Rs 62.40 lakh by the applicant and the identical was permitted by the regulator’s panel of whole-time members.
Accordingly, Securities and Exchange Board of India (Sebi) has disposed of the adjudication proceedings initiated in opposition to Rcom.
That enforcement actions, together with commencing or reopening of the proceedings, could possibly be initiated if any illustration made by it’s discovered to be unfaithful, it added.
(With inputs from businesses.)