MUMBAI (India CSR): The Securities and Exchange Board of India (SEBI) has issued remittance advice against Harpartap Steel Ltd., a public limited company engaged in the manufacture of steel products, for failing to comply with the recovery certificate issued by the regulator in 2016.
According to the remittance advice dated February 25, 2023, Harpartap Steel Ltd. (CIN: U27109PB1985PLC006420) has defaulted on the payment of Rs. 2,01000 along with interest and costs as per the recovery certificate No. 942 of 2016 issued by SEBI on November 30, 2016.
The recovery certificate was issued by SEBI after Harpartap Steel Ltd. failed to refund the money collected from investors through illegal collective investment schemes (CIS) in violation of the SEBI Act, 1992 and the SEBI (Collective Investment Schemes) Regulations, 1999.
The remittance advice states that Harpartap Steel Ltd. is liable to pay the amount due within 15 days from the date of receipt of the advice, failing which SEBI will initiate recovery proceedings against the company and its directors under the provisions of the SEBI Act and the Income Tax Act, 1961.
The remittance advice also warns that if Harpartap Steel Ltd. does not pay the amount due within the stipulated time, it will be liable for further action such as attachment and sale of movable and immovable properties, arrest and detention of directors, and appointment of a receiver for the management of the company.
SEBI has also advised Harpartap Steel Ltd. to inform its shareholders, creditors and other stakeholders about the remittance advice and its implications.
SEBI has urged the investors who have invested in the schemes of Harpartap Steel Ltd. to submit their claims along with supporting documents to the Recovery Officer of SEBI at its regional office in Chandigarh.