Baba Kalyani, promoter of Kalyani Group, has settled a case of an alleged violation of SAST (Substantial Acquisition of Shares and Takeovers) norms in the matter of BF Utilities Ltd with market regulator Sebi on payment of Rs 3 lakh.
BF Utilities is a subsidiary of the Kalyani Group.
The settlement came after Babasaheb Neelkanth Kalyani proposed to settle the pending proceedings through a settlement order “without admitting or denying the findings”.
“The proceedings that may have initiated for the alleged violations… are settled qua the applicants,” Sebi said in its settlement order passed on Tuesday.
The regulator further said it will not initiate enforcement action against the applicants for the said violation.
As per the order, Kalyani is a promoter of BF Utilities and has submitted that Kalyani Export and Investment, Aboli Investment had qualified as part of the promoter group of BF Utilities under the norms.
However, they were inadvertently not included in the list of promoter entities in the annual disclosures filed by Kalyani for the FY 2001-02 to 2020-21 under the SAST rules.
Further, in respect of non-compliance with the norms, the applicant has already filed updated annual disclosures for the fiscal ended March 31, 2022.
Also, the information related to the pledge of shares is already available in the public domain on the stock exchanges.
Pursuant to receipt of the application, the internal committee of Sebi deliberated on the aspect of the incorrect disclosures and their implications thereof and suggested the terms of the settlement.
Thereafter, a high-powered advisory committee of Sebi approved Rs 3 lakh for Baba Kalyani as a settlement amount.
The applicant informed the regulator about the remittance of the settlement amount on January 20, 2023, and Sebi has confirmed the credit of the same, the order said. PTI HG HG BAL BAL
