PRESS RELEASE - SEBI

January 05, 2016
PR No. 003/2016

Order in the matter of M/s Astha Green Energy Ventures India Limited

Shri Rajeev Kumar Agarwal, Whole Time Member, Securities and Exchange Board of India (SEBI), has passed Order dated January 1, 2016, in the matter of Astha Green Energy Ventures Ltd., inter-alia directing as follows:

  1. The Noticees i.e. Astha Green Energy Ventures India Limited and its promoters/directors namely, Mr. Keshav Reddy Mereddy, Mr. Arjun Reddy Mereddy, Mr. Jayanth Reddy Mereddy, Mr. Kunduru Raghuveer, Mr. K. Jayaveer, Mr. N. Ram Bhupal Reddy and Mr. N. Jayapal Reddy shall within a period of one year from the date of this order, jointly and severally refund Rs. 43,77,47,300 collected pursuant to the allotment of shares on December 10, 2007, March 31, 2009, March 04, 2010, March 05, 2010 and March 06, 2010 to allotees with interest at the rate of 15% per annum from the date of receipt of money till the date of such refund. However, the Noticees shall ensure that not less than 50% of the refund/repayment directed above is made to the allottees in six months starting from the date of this order. A quarterly status report shall be submitted by the Noticees in this regard at the end of each quarter.
     
  2. Such refund shall be made only in cash through a Demand Draft or Pay Order.
     
  3. The Noticees shall issue a public notice in all editions of one English national daily and one vernacular daily with wide circulation, detailing the modalities for refund, including details of contact persons including names, addresses and contact details, within fifteen days of this order.
     
  4. Within seven days of completion of refund as directed hereinabove, the Noticees shall file a certificate of such completion with SEBI from two independent peer reviewed Chartered Accountants who are in the panel of any public authority or public institution. Such certificate shall be issued by the Chartered Accountants after verifying the relevant documents including bank accounts of the Noticees and satisfying themselves that the refund has actually been made. For the purpose of this order, a peer reviewed Chartered Accountant shall mean a Chartered Accountant, who has been categorized so by the Institute of Chartered Accountants of India.
     
  5. The Noticees are restrained from, directly or indirectly, accessing the capital market by issuing prospectus, any offer document or advertisement soliciting money from the public and are further prohibited from buying, selling or otherwise dealing in the securities market, directly or indirectly, in whatsoever manner till the date of refund of money to the allottees, except for the purpose of compliance of this order.
     
  6. Mr. Keshav Reddy Mereddy, Mr. Arjun Reddy Mereddy, Mr. Jayanth Reddy Mereddy, Mr. Kunduru Raghuveer, Mr. K. Jayaveer, Mr. N. Ram Bhupal Reddy and Mr. N. Jayapal Reddy are also restrained from associating themselves, with any listed public company and any public company which intends to raise money from the public till the date of refund of money to the allotees.
     
    The Company was engaged in fund mobilizing activity through issue of equity shares to public without complying with the relevant provision of the Companies Act, 1956, provisions of SEBI ( Disclosure and Investor Protection) Guidelines, 2000 and the provisions of the SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2009.

    The Order shall come into force with immediate effect.
     
    The interim order cum show cause notice dated March 17, 2015 is disposed off accordingly.

Mumbai
 
January 05, 2016

 

For full copy of order against ASTHA GREEN ENERGY VENTURES INDIA LTD., MR.KESHAV REDDY MEREDDY, MR.ARJUN REDDY MEREDDY, 4) MR.JAYANTH REDDY MEREDDY, MR.KUNDURU RAGHUVEER, MR.K.JAYAVEER, MR.N.RAM BHUPAL REDDY AND MR.N.JAYAPAL REDDY click here.