Markets regulator Sebi Tuesday slapped a fine of Rs 30 lakh on Radford Global for violating listing norms and failing to provide information sought by the regulator.
After conducting a probe between February 2012 and March 2014 in the trading of Radford's shares, the regulator sought documents with regard to physical transfer of shares by the company to certain entities.
Despite repeated summons in 2017, the firm failed to furnish the information required, Sebi said.
Further, the regulator observed that the firm made a preferential allotment in February 2012, and the proceeds of the allotment funds were utilised for the purpose other than its disclosed objective.
Under the listing agreement norms, the firm was required to furnish on a quarterly basis a statement to exchanges for variations between projected utilisation of funds and actual utilisation of funds, the regulator said.
However, no such disclosures were made to the exchanges, the Securities and Exchange Board of India (Sebi) noted.
Accordingly, Sebi fined the firm Rs 10 lakh for failing to provide information and Rs 20 lakh for violating listing agreement norms, totalling Rs 30 lakh.
In a separate order, Sebi imposed a fine of Rs 5 lakh on Kolkata-based K B Sponge Iron for executing fraudulent trade and, thereby, creating artificial volume in the illiquid stock options segment of the BSE.
(This article has not been edited by Zeebiz editorial team and is auto-generated from an agency feed.)
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