New Delhi, Apr 3 (PTI) Markets regulator Sebi today cautioned public against buying and selling of any property of PACL Group or its promoters, and said that no one has been authorised to collect money or claims in this regard.
It also asked investors to retain their documents and not part with them for any reason whatsoever till a “specific notification” is issued by the Supreme Court-appointed R M Lodha committee — which is overseeing disposal of PACL assets so as to refund the affected investors.
The committee received complaints about individuals, associations collecting money/claim form under the guise of authorisation from the committee.
It said it has “not authorised any person to collect any money/claim etc in any manner whatsoever, therefore investors may beware and are cautioned to not fall in the trap of any such news/report/advertisement”.
Soliciting cooperation from public at large including customers, investors of PACL Ltd, the committee requested them not to be guided by any rumour that certain individuals have been authorised by the it for collecting money.
PACL, which had raised money from public in the name of agriculture and real estate businesses, was found by Sebi to have collected more than Rs 60,000 crore through illegal collective investment schemes over a period of 18 years.
The Securities and Exchange Board of India (Sebi) said that process of auctioning PACL Ltd’s properties is underway.
It had earlier invited public at large to submit expressions of interest for sale of properties in 192 districts. In this regard, 6,504 EoIs were received.
It said the process of refund would be initiated upon realisation of a sizeable amount by the committee. In such case, investors would be required to file their claims only in the prescribed format upon specific notification by the committee.
Sebi has cautioned “public against buying/dealing with any properties wherein PACL or any of its associates/ subsidiaries have any interest/rights, directly or indirectly”.
The committee asked public at large to rely only on the public notices and press releases published by it, which are available on Sebi’s website.
In December 2015, Sebi had ordered attachment of all assets of PACL and its nine promoters and directors for their failure to refund more than Rs 60,000 crore due to investors — the biggest amount for any such case.
PACL had raised Rs 49,100 crore from nearly 5 crore investors that it needs to refund along with promised returns, interest payout and other charges, as per the Sebi order.
The proceedings were initiated against PACL as also its promoters and directors. Recovery proceedings were launched “for their failure to refund an amount of Rs 49,100 crore with return due to investors, along with further interest and all costs, charges and expenses incurred in the recovery proceedings”.
Sebi had asked them to refund the money in an order dated August 22, 2014. The defaulters were directed to wind up the schemes and refund money to the investors within three months from the date of the order.
This is published unedited from the PTI feed.