Interim relief: SAT allows DLF to redeem Rs1,806 cr from MFs

The Securities Appellate Tribunal (SAT) has allowed realty major DLF, which is facing a ban from the capital market, to redeem mutual fund units worth Rs 1,8060000000 till next month. After hearing an appeal for interim relief by the property developer, SAT allowed it to redeem mutual funds worth Rs 7670000000 in the current month and further funds worth Rs 1,0390000000 in December. DLF had sought permission to redeem funds locked in mutual funds after being slapped with the Securities and Exchange Board of India (Sebi) ban last month on the company and six of its top officials from accessing the capital market for 3 years. The developer had made the request through an affidavit submitted on Monday to the SAT, which is hearing DLF’s appeal against the ban. The SAT, a quasi-judicial body, will begin its final hearing on December 10 on DLF’s main plea against Sebi order. At an earlier hearing on October 30, the SAT had asked DLF to specifically mention the time-frame, the requirements as well as the end use of the fund apart from till what time it needs the interim relief. The SAT has further asked Sebi to file its reply to the DLF petition by November 30.