Regulations
SEBI asks Pancard Clubs to stop collecting money from investors
Pancard Clubs and its directors are barred from carrying on with their existing fund mobilizing activity through under holiday packages
 
The Securities and Exchanges Board of India (SEBI) ordered Pancard Clubs Ltd (PCL) and its directors to immediately stop collecting any fresh money from investors under its existing schemes; to not launch any new schemes or plans or float any new companies to raise fresh money; to submit a full inventory of assets obtained through money raised by PCL; to not dispose of any properties or assets obtained through money raised by PCL; to not divert any funds from PCL; and to furnish details sought by SEBI.
 
Whole Time Member S Raman, in his order said that, “I find no other alternative but to take recourse to an interim order against PCL and its Directors for preventing them from further carrying on with its existing fund mobilizing activity by launching 'collective investment scheme', without obtaining registration from SEBI in accordance with law.”
 
This order comes in response to complaints received against PCL, alleging fraudulent fund mobilisation across the country. In response to queries and details sought by the SEBI for the preliminary inquiry, PCL had responded that, “PCL is in the business of marketing time share products- room's nights of its hotels, affiliates and other hotels outside its group - to its prospective applicants at a fixed tariff, during the contracted tenure of the holiday options.” It added that, "PCL's business model does not fall under the purview of collective investment scheme."
 
An example of their scheme: The tenure of Pancard Clubs-dezire holiday option scheme is 37 months. The applicant has to confirm to acquire a minimum of 9 room nights and thereafter multiple of 9 room nights at the offer price Rs900 for one room nights. The applicant can choose the option of monthly or quarterly payment of the room night instalment at the time of obtaining the room nights. The applicant shall have to complete the payment towards the committed number of room nights in a maximum period of 27 months from the date of first payment. Persons completing all the 27 payments for the committed number of room nights shall be considered as a valid applicant and shall be formalised for and eligible for the benefits of the scheme. In the event of non-payment of instalment consistently, the applicant shall be levied a late fee of Rs25 per month for monthly option and Rs75 per quarter for quarterly option for each such delayed payment.
 
For all of PCL's eight schemes on offer, upon maturity, the applicant may surrender his unutilised room nights and opt for following:
  • • The applicant may opt for surrender value. The actual surrender value shall be determined by the company at the time of surrender of room nights and shall be paid after the expiry of tenure under the scheme.
• The applicant may opt to exchange or barter or utilise the products and services of the company or group companies.
• The applicant may opt to convert his unutilised room nights to the extent of surrender value entitlement into life membership of various clubs of the company/group.
• The company in its discretion may give an option to its applicant to convert his unutilised room nights, to the extent of surrender value, into shares, debentures
 
Based on the financial statements provided by PCL, SEBI found that there were inconsistencies in PCL's offerings. The order by SEBI noted, “It is noted from the analysis that only 0.34% of the investors/customers utilised the purchased room nights. From the details provided by PCL, it is observed that PCL has a total of 1,420 rooms (723 domestic and 697 foreign) of its own. As per the scheme details provided by PCL vide letter dated 11 April 2014, it is noted that the available room night for a year owned by PCL is only 5,18,300. However, it has sold around 1.35
crore room nights. In other words, PCL possesses less than 4% rooms.”
 
The order, while directing PCL and directors to abstain from further fund mobilisation and related activities as mentioned above, noted that, “The features of the Holiday Plans offered by PCL, as discussed in the preceding paragraphs, shows that the activity of fund mobilization by PCL under its 'scheme(s)/ plan(s)' Page 13of 15 with a resultant promise of returns, prima facie falls within the ambit of 'collective investment scheme' as defined under section 11AA of the SEBI Act. Therefore, I am of the view that PCL is engaged in the mobilisation of funds from public under its holiday plans, which is in the nature of 'collective investment scheme' as defined under Section 11AA of the SEBI Act.”

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COMMENTS

satish wakchaure

4 months ago

hi..
plz give me suggestion for, How can i get money for pancard club.. and give me the contact number for any employed, for PAN CARD CLUB.

REPLY

Pooja bhandari

In Reply to satish wakchaure 3 months ago

Any update or any group or people working together for this

Arjun balgude

4 months ago

HOW CAN I GET BACK MY MONEY FROM PANCARD FUND?

suresh

10 months ago


Pan Card Club Ltd. a registered company is doing this business of selling room nights since last 20 years. What will happen to those who have invested in this company? A administrator should be appointed and the assured amounts to be paid to the room night purchasers. S.C. Should take the decision in this respect to amalgamate all the estate of the company for this purpose.
Suresh

shruti

11 months ago

What happens to all those who have bought into the scheme already? Any hope they'll get to recover their investment?

shruti

11 months ago

So what happens to those who have already bought into the scheme and want to collect their surrender value? Are they likely to recover their investment?

KAMAL KRISHNAN

12 months ago

SEBI should investigate the same with respect to Country Club/Country Vacations.

Thousands of people are getting under their trap everymonth.
Funds are collected by giving all sort of false promises and fooling around people.

KAMAL KRISHNAN

12 months ago

SEBI should investigate the same with respect to Country Club/Country Vacations.

Thousands of people are getting under their trap everymonth.
Funds are collected by giving all sort of false promises and fooling around people.

KAMAL KRISHNAN

12 months ago

SEBI should investigate the same with respect to Country Club/Country Vacations.

Thousands of people are getting under their trap everymonth.
Funds are collected by giving all sort of false promises and fooling around people.

Rohit

2 years ago

This is a fraudulent scheme. Their majority of the collections are from W.Bengal & Interior Maharashtra. this company more into money laundering. Read this article http://archive.tehelka.com/story_main50....

sachin

2 years ago

This is a good step by SEBI barring PCL from accepting the deposits. Its alarming to note that the Company is selling 100 room nights when it has only 4 with them. In simple account terms, at the time of accepting money the entry would be debiting bank and crediting income received in advance. When it opts to launder the money, it can simply credit sales and debit income received in advance, thereby liability is considered as sales... no refund of money will take place.

NIHAR RANJAN DAS

2 years ago

now we can collect money from Investors or not.

RABINARAYAN SAHOO

2 years ago

from rabinarayan sahoo,jajpur,odisha,india i nopancard verry honestly and customer service is good and satisfation

bikash jati

2 years ago

i don't think that pancard clubs ltd doing the cis business. last seventeen years they are doing business very honestly and so many times they hadbeen allready proved it.so these are the bogus alleging.

Chhanda

2 years ago

Not surprised!! Atleast SEBI is now looking into it.

Rakesh ku das

2 years ago

Dear sir i want yo know
Are u give the permission to pcl for recollecting money

Nifty, Sensex headed lower – Thursday closing report

While Nifty may get a short bounce, later on Friday, the trend is pointing downwards

 

Today for the entire morning session the indices were range-bound. Although Sensex managed to move above yesterday’s close on various occasions, the Nifty barely managed to return to its yesterday’s close. In the afternoon session, the indices lost strength and closed near their intra-day low.


Sensex opened at 26,106 while Nifty opened at 7,785. The benchmarks reached upto 26,119 and 7,792. Sensex hit a low of 25,854 and closed at 25,895 (down 192 points or 0.74%). Nifty hit a low of 7,711 and closed at 7,721 (down 70 points or 0.90%). NSE recorded a huge volume of 108.93 crore shares on account of July's futures and options expiry. India VIX fell 0.47% to close at 13.8225.


The global rating agency Fitch Ratings, said on Thursday that it has retained the 'BBB-' sovereign rating - the lowest investment grade - for India and a revision will depend on the government's efforts to usher in bold reforms. The agency has also retained a 'stable' outlook for the country's ratings.


Prime Minister Narendra Modi will launch the government's campaign for financial inclusion to ensure that 7.5 crore households that do not have access to banking have at least two accounts. Efforts will also be made to introduce mobile banking on all kinds of phones, Finance Minister Arun Jaitley told reporters today.


Cipla (1.92%) was the top gainer among the Sensex 30 stocks. Cipla  has entered into a partnership with US-based BioQuiddity Inc for selling the latter's post-surgical pain management product OneDose ReadyfusORTM in Europe. The pact between Cipla Europe (CE) NV, Cipla’s wholly owned subsidiary and BioQuiddity Inc will cover countries in Europe. The Indian firm intends to launch the CE marked OneDose ReadyfusOR pre-filled with Ropivacaine, under its own label in the German market later this year.


NTPC (3.01%) was the top loser among the Sensex 30 stocks. NTPC posted a net profit of Rs2,201.20 crore for the quarter ended June 2014 as compared to Rs 2,527.02 crore for the quarter ended June 2013. Sales increased from Rs15,694.07 crore to Rs18,336.75 crore for the relevant period.


IRB Infrastructure (7.79%) was the top gainer in the ‘A’ group on BSE. After market hours on Wednesday, it came out with its June 2014 quarter results. IRB Infrastructure posted a net profit of Rs 29.92 crore for the quarter ended June 2014, as compared to Rs 26.62 crore for the quarter ended June 2013. However, revenues decreased from Rs628.60 crore to Rs569.32 crore for the relevant period. It has also declared an interim dividend of Rs2 per equity share of face value of Rs10 each for the financial year 2014-15.


Cadila Healthcare (4.02%) was the top loser among Sensex 30 stocks. The stock hit its 52-week high at Rs 1,195.00 yesterday. Its net profit fell to Rs 197.29 crore for the quarter ended June 2014, as compared to Rs 340.22 crore for the quarter ended June 2013. Sales increased from Rs928.10 crore to Rs1,112.79 crore for the relevant period.
US indices had a mixed closing on Wednesday. The Federal Reserve, on Wednesday, upgraded its assessment of the US economy, although it also reaffirmed that it was in no rush to raise interest rates.


Asian indices had a mixed performance. Among the indices trading today, Shanghai Composite (0.93%) was the top gainer while Taiwan Weighted (1.39%) was the top loser.


European indices were trading sharply lower. US indices too were trading deeply in the red. German unemployment fell for the first time in three months, in a sign that Europe's largest economy is gathering pace after a second-quarter slowdown. The number of people out of work dropped a seasonally adjusted 12,000 to 2.9 million in July, the Nuremberg-based Federal Labor Agency said today.

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RTI Judgement Series: Citizens cannot go uncovering fake and unqualified doctors

The CIC noted that citizens were exposed to complete substandard and unqualified doctors due to callous attitude of Delhi Bharatiya Chikitsa Parishad. This is the 204th in a series of important RTI judgements given by former Central Information Commissioner Shailesh Gandhi

 

The Central Information Commission (CIC), while disposing an appeal, noted that Delhi Bharatiya Chikitsa Parishad (DBCP), which has the responsibility of registering medical practitioners in the Indian System of Medicine, did not appear to be doing its job.

While giving the judgement on 21 May 2010, Shailesh Gandhi, the then Central Information Commissioner, said, "Citizens are exposed to complete substandard and unqualified doctors and it is questionable whether such Institutions should be allowed to continue in this manner."

Delhi resident, Rafi Ahmed, on 7 December 2009, sought from the Public Information Officer (PIO) of Delhi Bharatiya Chikitsa Parishad under the Department of Health & Family Welfare in Govt of NCT of Delhi, information regarding registration of one Dr Shakeel Ahmad. Here is the information the appellant had sought under the Right to Information (RTI) Act...

(with reference to Dr Shakeel Ahmad who was registered with DBCP as a BUMS degree holder).


a) Name of college where Dr. Shakeel Ahmad pursued the BUMS course and year of passing out.


b) Name of the school and the board from where Dr. Shakeel Ahmad had passed his class XII examination and also class XII roll number and year of passing.

In his reply, the PIO stated...


a) Dr Shakeel Ahmad was registered in Delhi Bharatiya Chikitsa Parishad.


b) His certificate of registration has been cancelled with immediate effect vide office letter dated 13/10/2009.


c) He was no more registered with the Parishad.


d) Dr Shakeel Ahmad had requested that no information concerning him should be given to the Appellant.

Rafi Ahmed, the appellant, citing unsatisfactory information provided by the PIO, filed his first appeal.

The First Appellate Authority (FAA), while disposing the appeal gave information to some of the queries asked by Rafi Ahmed.


The FAA stated:


"a) The copy of degree was not available in the official records. Photocopy of marks statement of senior school certificate examination 1994 submitted by Mr Shakeel Ahmed vide roll no 6603447 enclosed.


b) Certificate of registration of Dr Shakeel Ahmed was cancelled with the prior approval of the competent authority. Copy enclosed."

Rafi Ahmed, the appellant, citing unfair disposal of his appeal by the FAA and unsatisfactory information provided by the PIO then approached the CIC with his second appeal.

During the hearing, Mr Gandhi, the then CIC observed that the appellant has highlighted how Delhi Bharatiya Chikitsa Parishad, which has the responsibility of registering medical practitioners in the Indian System of Medicine does not appear to be doing its job. "He (Rafi Ahmed) had sought information about the degree certificate of Dr Shakeel Ahmad and it has been found that in 2002 Dr Shakeel Ahmad has been given registration on the basis of provisional and internship completion," Mr Gandhi noted.

He said, "It is apparent that subsequently no attempt was made to check if he ever obtained a degree. It is very sad and distressing that Institutions to register and guarantee the basic requirements of medical professionals in the country are running in a very arbitrary manner and appear to be serving their own purpose."

While disposing the appeal as the information was provided, the Bench observed, "In this case after the application of the appellant the registration of Dr Shakeel Ahmad has been cancelled. It is no feasible that citizens go about uncovering fake and unqualified doctors while the registering authorities do not do their job."

                                             CENTRAL INFORMATION COMMISSION

Decision No. CIC/SG/A/2010/000666/7817


http://www.rti.india.gov.in/cic_decisions/CIC_SG_A_2010_000666_7817.pdf


Appeal No. CIC/SG/A/2010/000666

Appellant                                                                  : Rafi Ahmed
                                                                                        Inderlok, Delhi – 110035

 

Respondent                                                              :  Dr Farhat Umar 
                                                                                       Public Information Officer & Registrar
                                                                                       Government of NCT of Delhi

                                                                                       Delhi Bharatiya Chikitsa Parishad
                                                                                       Department of Health & Family Welfare,
                                                                                       CSC – III, 1st Floor, DDA Market, B- Block,
                                                                                       Preet Vihar, Delhi – 110092

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COMMENTS

Jadhwani

2 years ago

at present medical graduate are poor in diagnosis - as it is observed , hence the patient has grave danger of loosing life due to wrong medical treatment administered to him -her . now government must ensure only capable medical graduate are given authority to offer treatment else these are pure butchers in street to kill innocent humans in India jai hind

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