Order in the matter of GV Films Limited

WTM/MPB/ISD/ 126 /2018 BEFORE THE SECURITIES AND EXCHANGE BOARD OF INDIA CORAM: MADHABI PURI BUCH, WHOLE TIME MEMBER ORDER Under Sections 11, 11(4), 11A and 11B of the Securities and Exchange Board of India Act, 1992 in the matter of M/s G V Films Limited (PAN: AAACG2118C):

1. Securities and Exchange Board of India (hereinafter referred to as “SEBI”) had passed an Interim Order dated September 4, 2017, modifying, subject to para 24(iii) of the said order, the actions envisaged in SEBI’s letter dated August 07, 2017 and the consequential actions taken by Stock Exchanges, against M/s G V Films Limited (GVFL) as under: a) The trading in securities of GVFL shall be reverted to XD group of BSE with applicable price band in trade to trade category. b) The limitation on the transfer of shares held by the Promoters and Directors as mentioned in para 1(b) of SEBI’s letter dated August 07, 2017 is removed. c) Exchange shall appoint an independent auditor to conduct forensic audit of GVFL for verification, including the credentials/financials of GVFL. d) The other actions envisaged in SEBI’s letter dated August 07, 2017 in para 1 (d), as may be applicable, and the consequential action taken by Stock Exchanges shall continue to have effect against M/s G V Films Limited. 2. In the interim order, a prima facie finding in respect of the status of the trading of the scrip was mentioned as “the scrip was under XD group which specifies that it was trading in Trade to Trade Segment”. Pursuant to the Interim Order, SEBI passed a corrigendum dated September 7, 2017 stating the correct status of the trading of the scrip as “the scrip was under XD group of BSE”

Order in the matter of M/s G V Films Limited

3. The Interim Order provided for GVFL to file its reply/objections to the Interim Order within 21 days from the date of receipt of the Order and to indicate whether it desires to avail an opportunity of personal hearing. However, it is noted that GVFL has not made any reply to the Interim Order nor sought any personal hearing. 4. Therefore, at this stage, the limited issue for consideration is whether the directions in the Interim Order need to be continued, revoked or modified in any manner. 5. In this regard, I note that GVFL has not made any response to the allegations/prima facie findings/ directions in the Interim Order. Further, no material has been brought to my notice contradicting the allegations/prima facie findings contained in the Interim Order or warranting any change in the directions passed in the Interim Order. I also note that further enquiry in the matter is pending. 6. In view of the above, I find that the facts and circumstances of the case as brought out in the Interim Order have not changed justifying the dis-continuation/modification of the directions passed in the Interim Order. 7. Thus, I, in exercise of the power conferred upon me under sections 11(1), 11(4), 11A and 11B read with section 19 of the Securities and Exchange Board of India Act, 1992 hereby confirm the directions contained in the Interim Order dated September 4, 2017 read with corrigendum dated September 7, 2017. 8. Copy of this Order shall be forwarded to the recognized stock exchanges for information and necessary action. 9. A copy of this Order shall also be forwarded to the Ministry of Corporate Affairs and Serious Fraud Investigation Office for their information.

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DATE: JANUARY 17, 2018 MADHABI PURI BUCH PLACE: MUMBAI WHOLE TIME MEMBER SECURITIES AND EXCHANGE BOARD OF INDIA

Order in the matter of M/s G V Films Limited