SEBI Orders Attachment of Bank, Demat Accounts of Aakruti Nirmiti, 2 Others to Recover Over Rs95 Crore
Moneylife Digital Team 17 June 2022
Market regulator Securities and Exchange Board of India (SEBI) has ordered attachment of bank accounts as well as share and mutual fund accounts of Aakruti Nirmiti Ltd (ANL) and its directors to recover investors' dues of over Rs95 crore.
 
The recovery proceedings have  been initiated against them to recover Rs95.81 crore, along with further interest, all cost, charges and expenses, SEBI says. In its notice, SEBI has asked banks, depositories and mutual funds not to allow any debit from the from the accounts of Aakruti Nirmiti and the company’s then managing directors -- Manilal V Patel and Vithal S Patel. However, credits have been permitted.
 
Further, the markets regulator has directed all banks to attach all accounts including lockers held by the defaulters. "There is sufficient reason to believe that the defaulters may withdraw the amounts or dispose of the securities in the account held by you and realisation of amount due under the certificate would in consequence be delayed or obstructed," SEBI says in its order.
 
In May 2021, the regulator had directed that Aakruti along with Manilal V Patel and Vithal S Patel to refund to the investors the money collected by the company during their tenures through the issuance of equity shares (including the application money collected from investors), with an interest of 15% per annum. Besides, they were restrained from the markets "till the expiry of one year from the date of completion of refunds to investors". 
 
According to SEBI, Aakruti made allotment of equity shares to a total of 284 persons on seven instances from April 2007 to December 2007, and it had an obligation to file a prospectus in connection with the issue of securities and comply with the relevant provisions of DIP (disclosure and investor protection) rules. However, the company did not comply with the regulatory provisions.
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