SEBI bars Amrit Projects, Magnox Infraprojects and Pinnacle Ventures from raising money

SEBI bars Amrit Projects, Magnox Infraprojects and Pinnacle Ventures from raising money To bookmark you need to sign in SEBI said, Amrit Projects mobilised Rs10.380000000 while Magnox Infraprojects and Pinnacle Ventures collected Rs2.310000000 and Rs3.850000000 from investors Market regulator Securities and Exchange Board of India (SEBI) restricted three companies -- Amrit Projects (NE) Limited Magnox Infraprojects Limited and Pinnacle Ventures India Limited -- from raising funds by issuing securities. The regulator also barred the three companies and their directors from accessing the stock markets. SEBI said it found that these companies had raised money through issue of preference shares and as a result of such activities had violated various norms. While Magnox Infraprojects and Pinnacle Ventures are Kolkata-based companies, Amrit Projects is based in Guwahati, Assam. The companies and their respective directors have also been "prohibited from issuing prospectus or any offer document or issue advertisement for soliciting money from the public for the issue of securities, in any manner whatsoever, either directly or indirectly, till further orders". Besides, the companies and its directors have also been restrained from accessing the securities market, SEBI said in the orders. They have also been asked not to divert any funds raised from public at large and provide full inventory of all their assets and properties. SEBI observed that the companies had issued shares to over 50 persons which under the rules made it a public issue of securities and hence would require a compulsory listing on a recognised stock exchange, among other requirements. In the order against Amrit Projects, SEBI's initial probe has found that the company had mobilised funds amounting to about Rs10.380000000 during the financial years 2009-10, 2010-11, 2011-12 and 2012-13. Similarly, Magnox Infraprojects had raised Rs2.310000000 while Pinnacle Ventures had mobilised an amount of Rs3.850000000 from investors.