Sebi slaps Rs 20 lakh fine on Lancor Holdings' promoters
Markets regulator Sebi has slapped a fine of Rs 20 lakh on four promoters of Lancor Holdings for failing to make public announcements following acquisition of shares of the firm through bulk deals.
The promoters -- R V Shekar, Shyamala Shekar, Sangeetha Shekar and Swetha Shekar -- have to pay the fine 'jointly and severally', as per an order dated October 18 of the Securities and Exchange Board of India (Sebi).
According to the regulator, R V Shekar along with persons acting in concert (PACs) -- Shyamala, Sangeetha and Swetha -- had acquired 0.99, 0.70, 0.54 and 0.61 per cent shares of the firm on four separate occasions during September 2009, by way of bulk deals.
Following the acquisitions, these entities were required to make public announcements under Sebi's SAST (Substantial Acquisition of Shares and Takeovers) Regulations.
"The noticees (four promoters) by not making public announcements on acquiring shares of the company , have not only failed to comply with the provisions of SAST Regulations but have also deprived the shareholders of the exit opportunity at the relevant times which has to be viewed seriously," Sebi said.
Bulk deal comprises all transactions in a scrip (on the exchange) where total quantity of shares bought or sold is more than 0.5 per cent of the number of equity shares of the company listed on the bourse.