JM Financial Ltd and six others have paid a little over Rs 23 lakh as settlement charges to Sebi to settle a case related to an alleged violation of disclosure rules and merchant banking norms in the matter of Elcid Investments Ltd.

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JM Financial has paid Rs 15 lakh as a settlement fee, while Mahesh Chimanlal Dalal, Bharat Bhasker Talati, Ketan Chatrabhuj Kapadia, Dipika Amar Vakil, Amrita Amar Vakil, and Varun Amar Vakil paid collectively Rs 8.12 lakh towards the settlement charges, Sebi said in an order on Tuesday.

The order came after the applicants proposed to settle the instant proceedings initiated against them, without "admitting or denying the findings of facts and conclusions" of law.

The Securities and Exchange Board of India (Sebi) had initiated adjudication proceedings against Dalal, Talati, Kapadia, Dipika Amar Vakil, Amrita Amar Vakil and Varun Amar Vakil for allegedly violating delisting rules, disclosure norms and the Companies Act.

In addition, JM Financial Ltd also allegedly flouted the delisting rules and Sebi's merchant banking regulations. Further, a show cause notice (SCN) was issued by Sebi to the applicants on May 25, 2023, for the alleged violations.

Thereafter, the applicants filed settlement applications with the regulator in terms of the provisions of Sebi's (Settlement Proceedings) regulations to settlement. Pursuant to the receipt of the application, Sebi's High Powered Advisory Committee (HPAC) recommended settling the matter on payment of the settlement amount.

"In view of the acceptance of the settlement terms and the receipt of settlement amount by Sebi, the instant adjudication proceedings initiated against applicants vide SCN dated May 25, 2023, is disposed of in terms of the settlement regulations on the basis of the settlement terms," Sebi's Adjudicating Officer Barnali Mukherjee said in the order. Subsequently, the applicants paid the amount and settled the case.