Order in the matter of Suprapti Plastics Limited
- Order No.WTM/RKA/EFD/141/2015
Ratio decidendi
The rule this decision rests on
Where a listed company is under a winding-up order, has not had that order set aside according to the information available to the regulator, and its pending investor grievances have accordingly been closed on the SCORES system, no direction under section 11B of the SEBI Act, 1992 is required in respect of the company or its directors, and show cause notices premised on the non-redressal of those grievances may be disposed of.
Written by Miss Lucy from the judgment below, not taken from a headnote.
Judgment
As delivered
WTM/RKA/EFD/141 /2015
BEFORE THE SECURITIES AND EXCHANGE BOARD OF INDIA ORDER Under section 11B of the Securities and Exchange Board of India Act, 1992 in the matter of Suprapti Plastics Limited In respect of (1) Suprapti Plastics Limited and its directors viz. (2) Mr. Ajay Surendra Tanna and (3) Mr. Prakash Surendra Tanna 1. Suprapti Plastics Limited is a company incorporated under the Companies Act, 1956 having its registered office at Plot No W-17, MIDC, Tarapur, Boisar, District Thane, Maharashtra. It was observed that Mr. Ajay Surendra Tanna and Mr. Prakash Surendra Tanna were the directors of Suprapti Plastics Limited. 2. Securities and Exchange Board of India (SEBI) vide circular no. CIR/OIAE/1/2012 dated August 13, 2012 directed all companies whose securities are listed on stock exchanges, 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. 3. However, it was observed that Suprapti Plastics Limited had not obtained SCORES authentication and it had not redressed four investor grievances pending against it.
Accordingly, SEBI sent a letter dated February 15, 2013, to the Compliance Officer of Suprapti Plastics Limited, drawing his attention to the aforesaid Circular and advising him to resolve the pending grievances at the earliest. The said letter was returned undelivered. As, Suprapti Plastics Limited failed to redress the said four investor grievances which were pending against it for more than 30 days, SEBI issued Show Cause Notices (SCNs) dated March 28, 2013 and April 17, 2013 to Suprapti Plastics Limited and its directors viz., Mr. Ajay Surendra Tanna and Mr. Prakash Surendra Tanna, respectively calling upon them to show cause as to why suitable directions including direction to restrain them from accessing the securities market for a specified period should not be issued under section 11B of the SEBI Act. 4. From the website of the Ministry of Corporate Affairs, it has been noted that Suprapti Plastics Limited is under liquidation. The Registrar of Companies, Mumbai vide letter dated November 17, 2014, has, inter alia, confirmed that Suprapti Plastics Limited is “Under Liquidation” and has been ordered to be wound up by an Order dated July 5, 2012 in Company Petition 113 of 2010. No further communication has been received from the Official Liquidator regarding setting
In the matter of Suprapti Plastics Limited aside of the said order for winding up. In view of the same, the said four investor complaints have been treated as closed and disposed of in SCORES. 5. Considering the above facts and circumstances of the case, I am of the view that there is no need to issue any direction under section 11B of the SEBI Act, 1992, as contemplated in the SCNs issued in the matter. The SCNs are accordingly disposed of.
Sd/- Date: October 15th, 2015 RAJEEV KUMAR AGARWAL Place: Mumbai WHOLE TIME MEMBER SECURITIES AND EXCHANGE BOARD OF INDIA
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