Sebi bars Man Industries, top officials from securities mkt for 2 years over financial misstatement

New Delhi, 29 Sep (PTI) Markets regulator Sebı on Monday, Barred Man Industries (India) LTD and three senior executives allowed the securities markets to reach for two years and fined them La25 Lakh, allegedly with financial mistake.

Among those who have been punished, Man Industries President Ramesh Mansukhani; Nikhil Mansukhani, Executive Director; And according to an order accepted by Sebı, the former general manager and the current CFO Ashok Gupta.

Sebi said that the financial statements of Man Industries (India) LTD (MIIL) financial statements were “deliberately written” for the financial years between 2015-16-2020-21.

According to Sebi, wrong declarations, negligence and conceales formed a part of a plan in which investors were deprived of the real financial picture of the company.

SEBI stressed that MSPL, a fully subsidiary, was removed from consolidation without any explanation after 2014-15 financial years. This concealment, the order stated, Miil’s profit artificially inflating the group level losses and obligations.

“Therefore, I concluded that the financial statements of MIIL between 2015-16 financial years were represented between 2020-21 financial years, their effect is that the risks of incorrect profitability, liquidity and exposure group risks offer a false picture.

By pamping such actions, organizations violated the provisions of PFUTP (the prohibition of fraudulent and unfair trade), and accordingly, the sebi prevented organizations from accessing the securities market for 2 years and fined them.

Emir came after a complaint that Sebı claimed that funds were deviated to the subsidiaries and claimed to consolidate financial results to conceal the damages.

Based on the complaint, Sebı launched an exam with judicial control to Miil. To assist this process, on November 22, 2021, a judicial auditor was appointed to conduct a detailed investigation of the account books for the 2014-15 FY to 2020-21 financial dates of the company.