Press Release

M/s. Ocean Agro Farms Ltd., Chandigarh, whose application for registration under the provisions of SEBI (Collective Investment Schemes) Regulations was earlier rejected by SEBI, failed to wind up their existing scheme(s) to repay the investors in the manner provided under SEBI (Collective Investment Schemes) Regulations, 1999. 

In view of the above, in his Orders passed on December 3, 2002, Chairman, SEBI directed the entity to refund the money collected under the scheme(s) with returns which is due to the investors as per the terms of the offer within a period of one month from the date of the Order failing which the following actions would follow:

1. Initiation of prosecution under section 24 of SEBI Act,1992.
   

2. The entity and its concerned officials would be debarred from operating in the capital market and from accessing the capital market for a period of 5 years.
   

3. Reference would be made to the state government/local police to register civil/criminal cases against the entity /its concerned officials for the offences of fraud, cheating, criminal breach of trust and misappropriation of public funds.
   

4. Reference would be made to the Department of Company Affairs to initiate the process of winding up of the entity.

Further, The Securities and Exchange Board of India vide its Orders dated December 3, 2002, has debarred M/s. VGP Agro Farms Ltd., Chennai and M/s. VGP Evergreen Plantations Ltd., Chennai and their concerned officials from operating in the capital market and from accessing the capital market for a period of 5 years from the date of the Orders. These entities have, interalia, failed to comply with the earlier Orders dated August 31, 2002, of SEBI directing them to refund the money collected under the collective investment scheme(s) with returns due to the investors as per the terms of the offer within a period of one month from the date of the said Orders.