Karan Adani, Managing Director of Adani Ports and Special Economic Zone (APSEZ), along with Chief Financial Officer B. Ravi, has reached a settlement with the Securities and Exchange Board of India (Sebi) concerning adjudication proceedings related to PMC Projects. Both executives paid ₹13.65 lakh as part of the settlement, which was finalized on September 5, 2023.
Sebi initiated the proceedings by issuing a show-cause notice to Adani and Ravi on November 22, 2023. The investigation focused on adherence to the Securities Contracts (Regulation) Act, 1956, the Sebi Act, and the Sebi (Listing Obligations and Disclosure Requirements) Regulations, 2015, specifically concerning transactions between PMC Projects and APSEZ along with its subsidiaries. The probe included examinations of banking transactions and inter-corporate security deposits involving PMC Projects and APSEZ.
In response to the allegations, authorized representatives of Adani and Ravi submitted their replies and filed settlement applications in January 2024 under the Sebi (Settlement Proceedings) Regulations, 2018. Following a recommendation from the High Powered Advisory Committee on settlement terms, a panel of Sebi’s whole-time members approved the settlement on August 13, 2023. Once the settlement amounts were received, Sebi concluded the adjudication proceedings in accordance with the established regulations.
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