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Rediff.com  » Business » Mallya barred from securities market for 3 years

Mallya barred from securities market for 3 years

June 01, 2018 22:28 IST

Sebi also imposed a one-year ban on two former company officials -- Ashok Capoor and P A Murali.

Sebi on Friday barred fugitive businessman Vijay Mallya from the securities market for another three years as also from holding directorship in listed companies  for five years in the case of illegal fund diversions at United Spirits Ltd.

 

Besides, the watchdog has imposed a one-year ban on two former company officials -- Ashok Capoor and P A Murali.

Through an interim order in January 2017, the regulator had barred Mallya and six former officials of United Spirits, including Capoor and Murali, from the securities markets in the case related to illegal fund diversions.

In a 38-page order, Sebi said it has banned Mallya for three years from the securities market.

He has also been barred from "holding position as director or key managerial person of a listed company for a period of five years", it added.

Capoor and Murali have been restrained from holding directorship or key managerial positions for one year.

"In the context of diversion of funds perpetrated in a listed company by way of dubious and concealed financial statements/ projections or false books of accounts, it is inevitable that Sebi should step in and take appropriate action..," Sebi whole time member G Mahalingam said in the order.

Photograph: Toby Melville/Reuters

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