Sebi cautions investors against investing in bogus investment schemes

Market regulator Securities and Exchange Board of India (Sebi) has cautioned investors against investing in schemes offered by entities barred by the regulator or entities not registered with it. Sebi has also barred entities from raising money without its approval.

Sebi noted that certain entities not registered with it have offered collective investment schemes (CIS) without registering with or filing offer documents of such schemes with it. Sebi said it has taken appropriate action against such entities and its directors since 1 January 2011. Sebi has also passed orders against certain entities and their directors, carrying on unregistered CIS.

As part of the interim directions, Sebi has inter-alia directed the entities and their directors to stop collecting further money under existing or new schemes. These have been asked not to launch any new scheme or float any new companies or firms to raise fresh money. These entities have also been asked not to divert or alienate any assets or money collected.

As part of final directions, Sebi has directed winding up of unregistered schemes of some entities and repayments to investors and inter-alia also debarred the entities and their directors from accessing the capital market.

Sebi has cautioned investors and the general public that other than "GIFT Collective Investment Management Company Limited" no other entity is registered with Sebi under the CIS Regulations.

Further, it has advised investors to make sure that the entity is compliant will all regulatory requirements before investing in a collective investment scheme:

  • Whether the entity is registered with Sebi;
  • Whether the scheme (CIS) has filed an offer document with Sebi;
  • Subscription to CIS units is permitted only through a banking channel, no cash transactions are permitted; and
  • No guaranteed or assured returns are permitted (at most, an indicative return may be stated in offer document).

Sebi said ina statement, "If any of the following unregistered entity or entities (as per the list below) are found to be collecting or mobilising money, investors are advised not to subscribe to such schemes and to report the same to Sebi and state authorities, including the police, immediately, along with appropriate details and documents.

Entities against whom orders have been issued from 1 April 2011 to 31 May 2016 include:

  • Sun-plant Agro Ltd, NGHI Developers India Limited,
  • MPS Greenery Developers Limited,
  • Nicer Green Forest Ltd,
  • Maitreya Services Pvt Ltd,
  • Osian's Connoissurers of Art Ltd,
  • Saradha Realty India Ltd,
  • Alchemist Infra Realty Ltd,
  • Sumangal Industries Ltd,
  • Rose Valley Hotels & Entertainment Ltd,
  • HBN Dairies & Allied Ltd,
  • Maitreya Plotters & Structures Pvt Ltd,
  • Orient Resorts (India) Pvt Ltd,
  • Ray International Limited,
  • Green Buds Agro Farm I Ltd,
  • KBCL India Ltd,
  • Haldhar Realty and Enterprises Ltd,
  • Rose Valley Real Estate & Constructions Ltd,
  • Beetal Livestocks & Farms (Pvt) Ltd,
  • Ramel Industries Ltd,
  • Remac Realty India Ltd,
  • PACL, KMJ Land Developers India Ltd,
  • G N Dairies Limited,
  • Sheen Agro and Plantation Ltd,
  • Shree Sai Space Creation Ltd,
  • Arise Bhoomi Developers Ltd,
  • Vee Realties India Limited,
  • Kim Infrastructure & Developers Ltd,
  • Ken Infratech Ltd, MVL Limited,
  • Ecogreen Realestate (India) Limited,
  • Sai Prakash Properties Development Ltd,
  • Sai Prakash Organic Foods Ltd,
  • Sai Prasad Foods Ltd,
  • Sai Prasad Properties Ltd,
  • NICL India Ltd,
  • RBN Infrastructure India Ltd,
  • Future Gold Infrabuild India Limited,
  • Shri Ram Real Estate and Business Solution Limited,
  • Mark Builders & Land Developers Limited,
  • Networth Marketing Limited,
  • Parivar Dairies and Allied Limited,
  • Prosperity Agro India Limited,
  • Rich Infra Developers India Ltd,
  • BNP India Developers And Infrastructure Ltd,
  • Arohan Trustee Company Private Limited,
  • Viswas Real Estates and Infrastructure India Ltd,
  • USK India Ltd,
  • Insure Life Infrastructure India Limited,
  • Susk India Ltd,
  • Citrus Check inns,
  • Capacious Farming Ltd,
  • IPN Land Developers And Allied Ltd and its Directors,
  • V3 Infrastructure & Estates Private Ltd and its Directors/Promoters,
  • Emerging India Infra Limited,
  • Bhoomi Devcon and Agritech Ltd,
  • Kalpbut Real Estate Ltd,
  • IHI Developers India Ltd,
  • Royal Twinkle Star Club Ltd,
  • Nikhara Bharath Construction Company Ltd,
  • Ally Multi-Trade India Pvt Ltd,
  • Samruddha Jeevan Foods India Ltd,
  • Popular Agro Farms Pvt Limited,
  • Agri Gold Farms & Estates Ltd,
  • RDPL Infrastructure Limited,
  • Adel Landmarks Ltd (Era Landmarks Ltd),
  • Raghav Capital & Infrastructure Ltd,
  • Wisdom Agro Tech India Ltd,
  • Servehit Housing & Infrastructure India Ltd,
  • Dhanolty Developers Ltd,
  • Yatra Art Fund,
  • Sunshine Global Agro Limited (Sunshine Forestry Pvt Ltd),
  • Nicer Green Housing and Infrastructure Developers Limited,
  • JSR Dairies Ltd,
  • Karmbhoomi Real Estates Ltd,
  • Sunplant Bio Energy Private Limited,
  • Zeestar Limousines Limited,
  • Step Up Marketing Pvt Ltd,
  • HNC Infrastructures and Shares India Ltd,
  • Suvidha Farming & Allied Ltd, Sai Prasad Corporation Ltd,
  • GCA Marketing Pvt Ltd,
  • Zeestar Multi Club & Tours Pvt. Limited,
  • Blessing Agro Farm India Ltd,
  • Shubham Kroti Foods Pvt Ltd,
  • Skylark Land Develpers Ltd,
  • JSV Developers India Ltd,
  • Pancard Clubs Limited,
  • Peers Allied Corporation Ltd,
  • Disc Assets Lead India Ltd,
  • Utkarsh Plotters & Multi Agro Solutions India ltd,
  • Garima Real Estate and Allied Ltd,
  • Swar Agrotech India Ltd, Swar Agroteak and Housing India Private Limited (SAHIPL),
  • Assure Agrowtech Limited,
  • Sai Multi Services and its proprietor,
  • SPNJ Land Projects and Developers India Ltd,
  • Anmol India Agro Herbal Farming and Dairies Care Co Ltd, and
  • Garima Homes & Farm Houses Ltd.