SEBI bars directors of four companies and Dharnendra Overseas from markets for failing to resolve investor grievances
Moneylife Digital Team 08 April 2011

The market regulator said its restrictions would remain in force till Aashi Industries, Dharnendra Overseas, AEC Enterprises, Solid Carbide Tools and Dharnendra Industries resolve all pending investor grievances

The market regulator, Securities and Exchange Board of India (SEBI), has barred directors of four companies and Dharnendra Overseas Ltd from the markets for failing to address investor grievances. In an order dated 7th April, the market regulator said its restrictions would remain in force till the companies resolve all pending investor grievances.

SEBI has barred Aashi Industries' directors Dhaval A Jhaveri, Seema D Jhaveri and Dilipkumar Puri, AEC Enterprises' directors RD Apte, Sanjeev R Apte, Vikram V Desai, GP Sharma and Dinesh Sharma, Dharnendra Industries' directors Dharnendra B Gandhi, Navinchandra B Gandhi, Bhupendra B Gandhi and Bharat P Delvala, Solid Carbide Tools' directors Mukesh M Kothari, Narendra C Joshi and Dilip Suresh Shah. It also barred Dharnendra Overseas from buying, selling or otherwise dealing in the markets until all the pending investor grievances are resolved.

The market regulator said, as on 24 September 2008, it found 61 investor grievances pending by Solid Carbide Tools. All reminders and letters sent by SEBI to the company were returned undelivered. On 23 January 2009, the market regulator put up a public notice of its web site for Solid Carbide Tools, but it did not receive any response from the company.

SEBI later sent notices to Solid Carbide Tools' directors Mukesh M Kothari, Narendra C Joshi and Dilip Suresh Shah. Only Dilip Shah acknowledged the show-cause notice. However, he too failed to respond to the notice. When SEBI published a public notice in some local newspapers, Narendra Joshi sent a letter on 27 July 2010 in which he stated that he was never attached to the company in any manner and was not in a position to give any information regarding Solid Carbide Tools. However, SEBI said, Mr Joshi had signed as a director of the company in the annual report for 1999-2000 that was sent to the Registrar of Companies, Maharashtra, under its seal.

In the order, Dr KM Abraham, whole-time member, SEBI, said, "Sufficient opportunities have been provided to the company to redress the pending investor grievances listed by SEBI, since September 2008. However, it failed to respond. No action taken report was submitted by the company to SEBI, as advised. The protection of investors in the securities market is one of the paramount duties of SEBI and the present case involves a listed company that not only failed to redress investors' grievances, but also failed to respond to the letters/show-cause notice issued by SEBI. In such circumstances, permitting the company and its directors to access or deal in the securities market would be against the interests of the investors."

Similarly, SEBI found 122 investor complaints pending as on 2 September 2010 against Ahmedabad-based Dharnendra Overseas, 61 complaints pending as on 24 September 2008 against Madhya Pradesh-based AEC Enterprises, 416 investor grievances pending as on 25 September 2008 against Gujarat-based Aashi Industries and 101 complaints unresolved as on 24 September 2008 against Dharnendra Industries.

In the matter of AEC Enterprises, SEBI said, V Saminathan and Navneet Kampani, two of directors, have resigned from the company board in 1999 and the proceedings against them were disposed off without any directions.

Comments
suresh saraf
1 decade ago
what is the current possition of ojas technochem
pooja
1 decade ago
What exactly is the case against these comapnies
suresh saraf
1 decade ago
how many complaints are pending ojas technochem please tell me
Dr Avtar Singh
1 decade ago
Just barring from markets, is not enough. These Dharnendra Gandhi and co. had promoted Dharnendra ind, Dharnendra Agro and we had invested heavily. What has happened to the companies no body knows. We havelost heavily. They are criminals and should be punished as per law.
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