Order in the matter of Database Finance Limited

WTM/RKA/EFD/DRA II/179/2016 BEFORE THE SECURITIES AND EXCHANGE BOARD OF INDIA ORDER UNDER SECTION 11B OF THE SECURITIES AND EXCHANGE BOARD OF INDIA ACT, 1992 In respect of Database Finance Limited 1. Database Finance Limited (hereinafter referred to as ‘the company’) is a listed company. SEBI vide its circular no. CIR/OIAE/1/2012 dated August 13, 2012 directed all listed companies to obtain SEBI Complaints Redress System (SCORES) authentication by September 14, 2012 and to take appropriate necessary steps within seven days of receipt of complaints through SCORES, so as to resolve the complaint within thirty days of its receipt. 2. Database Finance Limited did not obtain SCORES authentication and it failed to resolve 24 pending investor complaints. SEBI issued Show Cause Notice (SCN) dated March 28, 2013 to the company, calling upon it to show cause as to why suitable directions including direction to restrain it from accessing the securities market for a specified period should not be passed under section 11B of the SEBI Act. 3. The company obtained SCORES authentication of September 16, 2013. Opportunity of personal hearing was granted to the company on June 24, 2014. Mr. Vinayak Vengurlekar, authorised representative of the company appeared and submitted that the investor grievances subject matter of the SCN are bogus. The authorised representative also submitted that the company has filed criminal complaint regarding the same before Addl. CMM, 33rd Court, Ballad Pier, Mumbai. Vide letter dated January 20, 2016 the company submitted details of steps taken by it to find out the investors and resolve the pending investor grievances. Another opportunity of personal hearing was granted to the company on January 28, 2016 when the company made submissions on the line of reply on record. Accordingly, concerned departments were directed to find out the veracity of the claim made by the company. 4. Now the concerned departments have confirmed that considering the documentary evidence produced by the company and pendency of criminal complaints before court, all 24 pending investor grievances have been disposed of. It has also been verified and confirmed that as on October 18, 2016, there were no pending actionable investor grievances with the company.

In the matter of Database Finance Limited

5. Considering the above facts and circumstances of the case, I am of the view that there is no need to pass any direction under section 11B of the SEBI Act, 1992 against Database Finance Limited as contemplated in the SCN issued to it. The SCN is accordingly disposed of.

Sd/- Date: November 01, 2016 RAJEEV KUMAR AGARWAL Place: Mumbai WHOLE TIME MEMBER SECURITIES AND EXCHANGE BOARD OF INDIA