Sebi imposes Rs 6 crore fine on DHFL promoters Kapil, Dheeraj and others; also slaps Utkarsh Small Finance Bank with fine

Capital market regulator SEBI on Wednesday imposed a Rs 6 crore fine on the former promoters of DHFL, Kapil Wadhawan, Dheeraj Wadhawan, Rakesh Wadhawan, Sarang Wadhawan, and others, for violating norms related to disclosure in the company.

The Securities Exchange Board of India (Sebi) said the heavy fine on individuals was because they had violated takeover rules in the case of Deewan Housing Finance Corp Limited (DHFL).

In its order, Sebi said that they had the allegations of hiding promoter holdings through other companies of the group.

The fine has to be paid jointly and severally within 45 days, Sebi said in its order on Wednesday.

The regulator further said that DHFL promoters, including Kapil and Dheeraj supressed the names of three companies- Hemisphere Infrastructure India, Galaxy Infraprojects and Developers, and Silicon First Realtors, which DHFL promoters were directly holding.  

Instead of being part of the promotor and promotor group of DHFL, the three companies mentioned in the Sebi order were shown as the part of public shareholders.

SEBI imposes fine on Utkarsh Small Finance Bank

SEBI on Wednesday also imposed a fine of Rs 1 lakh on Utkarsh Small Finance Bank. The exchange said that the bank had allegations of not giving disclosure details of the case related to NCD.