Take the pledge to vote

For a better tommorow#AajSawaroApnaKal
  • I agree to receive emails from News18

  • I promise to vote in this year's elections no matter what the odds are.
  • Please check above checkbox.

    SUBMIT

Thank you for
taking the pledge

Vote responsibly as each vote counts
and makes a diffrence

Disclaimer:

Issued in public interest by HDFC Life. HDFC Life Insurance Company Limited (Formerly HDFC Standard Life Insurance Company Limited) (“HDFC Life”). CIN: L65110MH2000PLC128245, IRDAI Reg. No. 101 . The name/letters "HDFC" in the name/logo of the company belongs to Housing Development Finance Corporation Limited ("HDFC Limited") and is used by HDFC Life under an agreement entered into with HDFC Limited. ARN EU/04/19/13618
LIVE TV DownloadNews18 App
News18 English
News18 » Business
1-min read

Sebi Fines India Advantage Securities for Failing to Settle Accounts of Active and Inactive Clients

The order came after the regulator conducted an inspection between April 2016 and December 2017 to examine the running account settlement mechanism of India Advantage Securities.

PTI

Updated:December 30, 2019, 7:04 PM IST
facebookTwitter Pocket whatsapp
Sebi Fines India Advantage Securities for Failing to Settle Accounts of Active and Inactive Clients
"We are examining the Fortis issue," Sebi Chairman Ajay Tyagi told reporters after a board meeting of the regulatory body in New Delhi.(File photo)

New Delhi: Markets regulator Sebi on Monday levied a fine of Rs 5 lakh on India Advantage Securities Ltd for failing to settle accounts of both active and inactive clients. The order came after the regulator conducted an inspection between April 2016 and December 2017 to examine the running account settlement mechanism of India Advantage Securities.

Pursuant to the probe, it was found that the broker had violated Sebi's circular issued in December 2009. As per the circular, the actual settlement of funds and securities shall be done by the broker, at least once in a calendar quarter or month, depending on the preference of the client.

However, the broker failed to do so. "The default committed by the Notice by failing to settle the accounts quarterly of both active and inactive clients, where some of the clients' accounts stood unsettled for more than one and a half year cannot be viewed leniently," Sebi said.

Consequently, Sebi imposed the monetary penalty on India Advantage Securities. In a separate order, Sebi levied a fine of Rs 5 lakh on Satco Capital Markets Ltd for misusing the clients' funds on several instances.

The mis-utilization of the clients' funds by Satco Capital is in the range of Rs 24.27 lakh on April 2, 2015 to Rs 11.95 crore on June 30, 2016, Sebi noted. "The Notice has misused the funds of its credit balance clients for its own purposes and also for its debit balance clients thereby violating the provisions of Section 23D of the SCRA (Securities Contracts (Regulation) Act) read with Sebi circular no ... dated November 18, 1993," it added.

Besides, Sebi, through separate orders fined five entities--Shailibhadra Infosec Ltd, Sonal International Ltd, Gujarat Meditech Ltd, Gujarat Narmada Flyash Company Ltd and Hani Industries-- for failing to redress investor grievances pending in SCORES.

The fines have been levied in the range of Rs 1-3 lakh. SCORES is a centralized web portal wherein unresolved grievances pertaining to securities market are registered. Complaints received by Sebi in SCORES are electronically forwarded to the listed company which in turn is required to resolve the same and furnish the action taken report in electronic form.

Get the best of News18 delivered to your inbox - subscribe to News18 Daybreak. Follow News18.com on Twitter, Instagram, Facebook, Telegram, TikTok and on YouTube, and stay in the know with what's happening in the world around you – in real time.

Read full article
Next Story
Next Story

facebookTwitter Pocket whatsapp
Most Active
Company Price Change %Gain
Dr Reddys Labs 3,033.65 3.27
ICICI Bank 530.90 -1.14
Reliance 1,580.65 2.79
Bharti Airtel 500.00 5.47
Vodafone Idea 4.51 -25.21
Top Gainers
Company Price Change %Gain
Bharti Airtel 500.00 5.47
Reliance 1,580.65 2.79
Sun Pharma 454.45 1.24
HCL Tech 598.80 0.91
Maruti Suzuki 7,524.55 0.80
Top Losers
Company Price Change %Gain
IndusInd Bank 1,352.55 -2.46
SBI 318.00 -1.62
HDFC 2,453.95 -1.14
ICICI Bank 530.90 -1.14
Larsen 1,304.55 -1.10

Live TV

Countdown To Elections Results
To Assembly Elections 2018 Results