Securities and Exchange Board of India (SEBI) has imposed a total fine of Rs 2.46 crore on 7 people including the promoters of TBVFL and THL company. Apart from this, these people have been banned from the market for 18 months and are also banned from working in any listed company or SEBI registered intermediary.
They have been fined for misleading investors and altering the financial position of the company. These include Girish Talwalkar, Prashant Talwalkar, Madhukar Talwalkar, Vinayak Gawande, Anant Gawande and Harsh Bhatkal for violating regulatory norms.
SEBI has given this order on several complaints received against THL and TBVFL during the period August-October 2019. Therefore, in this case, KPMG was appointed as the forensic auditor to conduct a forensic examination of the accounts of both TBVFL and THL. The complaints state that there was default in payment of interest on fixed deposits despite having cash balance. Doubts had also arisen over the authenticity of his accounts.
Talwalkars Better Value Fitness Limited (TBVFL) and Talwalkars Healthclub Limited (THL) companies and their promoters are involved in the fraud. SEBI has also imposed restrictions on promoters for different periods. These people have been fined for violating disclosure norms and PFUTP (Prevention of Fraudulent and Unfair Trade Practices).
SEBI has imposed a fine of Rs 36 lakh each on Girish Talwalkar, Prashant Talwalkar, Anant Gawande and Harsh Bhatkal. A fine of Rs 24 lakh has been imposed on TBVFL, Vinayak, Madhukar. A fine of Rs 18 lakh has been imposed on Girish Nayak and Rs 12 lakh on THL.
What is SEBI?
The Securities and Exchange Board of India (SEBI) is the regulatory body under Ministry of Finance, Government of India that regulate or controls securities and commodity market in India. It was founded on April 12, 1992, by the SEBI Act 1992.
Who manages SEBI?
The statutory body SEBI is managed by its members. It consists following memners:
- Chairman: Nominated by Government of India
- Two members: Officers from the Finance Ministry
- One member: From the Reserve Bank of India (RBI)
- Five members: Nominated by the Government of India (3 shall be whole time members)
Madhabi Puri Buch is the current chairman of SEBI, she took charge on March 1, 2022. She is first woman chairperson of SEBI.
Yes, SEBI is a statutory body of the Government of India.