Case Law Details
In Re matter of Reliance Home Finance Limited & Ors. (Securities and Exchange Board of India)
Facts- The Securities and Exchange Board of India on Reliance Home Finance Ltd and other individuals from dealing with the securities market directly or indirectly for allegedly siphoning off/diversion of funds from the company.
An investigation was undertaken by SEBI for the period of FY 2018-19. The focus of the said investigation was broadly to investigate into the manner in which the loans were disbursed by RHFL during the period of 2018-19 to several borrowing entities, so as to ascertain if any provision of SEBI Act, SCRA, SEBI (LODR Regulations) SEBI (PFUTP) Regulations etc., have been violated.
In pursuance of the said investigation, SEBI examined information from various sources, such as publicly available information, information provided by the Bank of Baroda including a copy of the report of Forensic Audit conducted by the bank into the affairs of the Company, information provided by the Company itself, information gathered from the borrowers of the Company, statements recorded by different Key Managerial Persons under oath during the investigation etc.
Conclusion-
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