iifl-logo-icon 1
IIFL

Invest wise with Expert advice

By continuing, I accept the T&C and agree to receive communication on Whatsapp

  • Open Demat with exclusive Advice & Services
  • Get a dedicated Relationship Manager to help you grow your wealth
  • Exclusive advisory on 20+ trading & wealth-based investment options
  • One tap Investments, Automated trading & much more
  • Minimum 1 lakh margin required
sidebar image

SEBI relieves Tata Motors with a warning in 18-year old case

10 Jun 2022 , 09:27 AM

SEBI has excused Tata Motors Limited giving it a warning to be more careful in its future dealings in the securities markets.

SEBI stated that any unfavorable order against the company at this stage may not practically serve any purpose for the events accrued over 18 years ago. This is mainly because the company ‘TFL Finance’ which bought the rights issue has been merged with Tata Motors Limited 17 years ago, and therefore, does not exist.

The case pertains to a backdated transaction in the scrip of Global Telesystems Limited (now known as GTL Ltd.) and Global E-Commerce Services Ltd., an unlisted company that merged with GTL in 2001.

Further, the regulator outlined that the present board of directors of the company is entirely different from all the directors of TFL, who all have been retired from the board.

Tata Motors was not the only one on SEBI’s radar this time. It also warned Niskalp Infrastructure Services (formerly Niskalp Investment and Trading Ltd.), to be more cautious in its dealings ahead.

Under the case, it was alleged that Tata Finance Limited did not disclose the true and correct facts to the investors and circulated an untrue and misleading statement of facts about the financials of Niskalp, which was one of the subsidiary companies of TFL, in its rights issue offer letter.

SEBI’s order followed a complaint received in October 2002 from Tata Finance, underlining instances of irregular transactions in securities on the basis of backdated and fictitious contract notes or bills, for the sale and purchase of shares of Global Telesystems Ltd and Global E-Commerce Services Ltd by DS Pendse and AL Shilotri, who executed the trades on behalf of Niskalp Investment and Trading Ltd. (now known as Niskalp Infrastructure Services Ltd.) and TFL, respectively.

SEBI started an investigation following the complaint to ascertain a possible violation of provisions of the PFUTP (Prohibition of Fraudulent and Unfair Trade Practices) norms.

Related Tags

  • SEBIOrder
  • SEBIOrderTataMotor
  • TataMotors
  • TataMotors&SEBI
  • TataMotorsNews
  • TataMotorsOrder
  • TataMotorsShare
sidebar mobile

BLOGS AND PERSONAL FINANCE

Read More
Knowledge Centerplus
Logo

Logo IIFL Customer Care Number
(Gold/NCD/NBFC/Insurance/NPS)
1860-267-3000 / 7039-050-000

Logo IIFL Securities Support WhatsApp Number
+91 9892691696

Download The App Now

appapp
Knowledge Centerplus

Follow us on

facebooktwitterrssyoutubeinstagramlinkedin

2024, IIFL Securities Ltd. All Rights Reserved

ATTENTION INVESTORS
  • Prevent Unauthorized Transactions in your demat / trading account Update your Mobile Number/ email Id with your stock broker / Depository Participant. Receive information of your transactions directly from Exchanges on your mobile / email at the end of day and alerts on your registered mobile for all debits and other important transactions in your demat account directly from NSDL/ CDSL on the same day." - Issued in the interest of investors.
  • KYC is one time exercise while dealing in securities markets - once KYC is done through a SEBI registered intermediary (broker, DP, Mutual Fund etc.), you need not undergo the same process again when you approach another intermediary.
  • No need to issue cheques by investors while subscribing to IPO. Just write the bank account number and sign in the application form to authorise your bank to make payment in case of allotment. No worries for refund as the money remains in investor's account."

www.indiainfoline.com is part of the IIFL Group, a leading financial services player and a diversified NBFC. The site provides comprehensive and real time information on Indian corporates, sectors, financial markets and economy. On the site we feature industry and political leaders, entrepreneurs, and trend setters. The research, personal finance and market tutorial sections are widely followed by students, academia, corporates and investors among others.

RISK DISCLOSURE ON DERIVATIVES
  • 9 out of 10 individual traders in equity Futures and Options Segment, incurred net losses.
  • On an average, loss makers registered net trading loss close to Rs. 50,000.
  • Over and above the net trading losses incurred, loss makers expended an additional 28% of net trading losses as transaction costs.
  • Those making net trading profits, incurred between 15% to 50% of such profits as transaction cost.
Copyright © IIFL Securities Ltd. All rights Reserved.

Stock Broker SEBI Regn. No: INZ000164132, PMS SEBI Regn. No: INP000002213,IA SEBI Regn. No: INA000000623, SEBI RA Regn. No: INH000000248

plus
We are ISO 27001:2013 Certified.

This Certificate Demonstrates That IIFL As An Organization Has Defined And Put In Place Best-Practice Information Security Processes.

closeIcon

Get better recommendations & make better investments

Invest wise with Expert advice

By continuing, I accept the T&C and agree to receive communication on Whatsapp