Sebi fines 4 entities for non-disclosure of shareholding

Capital markets regulator Sebi has imposed a penalty of Rs 2000000 on four entities for failing to comply with the shareholding disclosure norms within the stipulated timeline.The Securities and Exchange Board of India (Sebi) has directed B K Narula, Sidhi Narula, Ridhi Narula and Solar Renewable Urja to pay the fine of Rs 2000000 within 45 days.These four entities were part of Orosil Smiths India's promoter entities during the relevant period.As per the latest shareholding data available with the BSE , B K Narula and Sidhi Narula are part of promoter group.The regulator found that the promoters' shareholding stood at 57.88% in September, 2008 and after a series of acquisitions and sales made by them, their stake reached 69.89% in September, 2010.However, they failed to make disclosures about the change in shareholding to the company and stock exchanges within the required two days.The promoters group's shareholding was continuously undergoing changes from quarter to quarter indicating sale by the entities forming the promoter group which clearly establishes that the promoter group, while acting in concert, had made acquisition whilst their holding was between 55% and 75%.Therefore, the promoters squarely fall under the SAST (Substantial Acquisition of Shares and Takeovers) regulation, Sebi said.