SEBI Order in the Matter of Rich Infra Developers India Limited

BEFORE THE  RECOVERY OFFICER SECURITIES AND EXCHANGE BOARD OF INDIA

ORDER 

In respect of representation received from Rich Infra Developers India Limited in the matter of e-auction of immovablepro perties of Rich Infra Developers India Limited under Recovery Certificate No.2823 of 2020 

BACKGROUND:

1. Securities and Exchange Board of India (SEBI) vide final order dated September 27, 2018 directed Rich Infra Developers India Limited (AAFCR3888R) and its directors namely Harvinder Pal Singh (ABPPS4178P), Gurpreet Singh Sidhu (ATAPS7417G), Parampreet Singh Sidhu (BCWPS1318C) and Baljinder Preet Singh (BBJPS5825E) (hereinafter referred to as “Defaulters”) to wind up existing Collective Investment Schemes and refund the money collected by it under the schemes, with returns which are due to the investors as per the terms of offer.

2. It may be noted that before the passing of the aforesaid final order, on the basis of prima facie findings, SEBI had passed an interim order dated March 31, 2015 against the Defaulters directing them to inter alia submit the details of the schemes, investors etc., not collect any fresh money from investors under its existing schemes, not to dispose of or alienate any of the properties/assets obtained directly or indirectly through money raised under the schemes, etc.

3. Since the Defaulter failed to refund the monies, as directed by the aforesaid order, Recovery proceedings have been initiated under Section 28A of the Securities and Exchange Board of India Act, 1992, (“SEBI Act”) against the Defaulters under Recovery Certificate No. 2823 of 2020 dated February 5, 2020. A Notice of Demand dated February 5, 2020 was issued to the Defaulter, directing them to make the payment of the 58,45,00,000 /- together with returns due to investors, further interest, all costs, charges and expenses incurred in respect of all the proceedings taken for recovery of the said sum, within 15 days and vide Notices of Attachment dated February 5, 2020, the bank/demat accounts and mutual fund folios of the Defaulters were also attached.The Defaulter failed to pay the dues and the amount available in the bank/demat accounts of the Defaulter was insufficient to pay the entire dues

Official copy of the circular has been attached