Sebi issues 154 attachment notices to recover Rs 1,545 crore

With new powers to crackdown on fraudsters, market regulator Sebi has so far issued 154 attachment notices for recovering more than Rs 1,5450000000 from defaulters.Sebi has been armed with more powers with the Securities Laws (Amendment) Ordinance, 2013.After the ordinance, Securities and Exchange Board of India (Sebi) said it has "154 attachment notices towards recovery of Rs 1,545.190000000 from various defaulters."The watchdog is in the process of ascertaining the amounts available in the bank accounts held by the respective defaulters, it said in a statement today.Meanwhile, Sebi has initiated nearly 200 attachment proceedings for recovery of investors' money and unpaid penalties from various defaulters.The ordinance has given Sebi direct powers to freeze bank accounts, attach properties, conduct search and seizure and initiate recovery proceedings.To replace this ordinance, the Securities Laws (Amendment) Bill, 2013 is expected to be presented before Parliament in the next session. The ordinance has already been promulgated twice, the last being in September.A notice of demand for Rs 60000000 alongwith interest, cost, charges and expenses, among others, was issued to two defaulters -- Dushyant Natwarlal Dalal and Puloma Dushyant Dalal -- on September 25."On failure of the defaulters to pay the amount even after lapse of the specified time, Sebi has attached various bank accounts of the defaulters."Pursuant to the said attachment, a sum of Rs 10,82,287 has been recovered from two bank accounts of the defaulters. Recovery of the balance dues from the other bank accounts of the defaulters is in progress," the statement said.In an order issued on July 21, 2009, Sebi had directed directed Dushyant Natwarlal Dalal and Puloma Dushyant Dalal to disgorge an amount of Rs 60000000 in the matter of IPO irregularities.Since the defaulters failed to pay the disgorgement amount, the regulator initiated proceedings under Section 28A of the Sebi Act for recovery of the amount.Dues recovered from the defaulters would be distributed to the unsuccessful investors in the IPO irregularities as recommended by the Justice Wadhwa Committee, the statement said.