SEBI said its curbs will remain on UP Hotels as the company has not complied with the minimum public shareholding requirements till date
Market regulator Securities and Exchange Board of India (SEBI) has confirmed the restrictions it had imposed on UP Hotels Ltd and the company promoters for not meeting the minimum 25% public shareholding requirements.
The curbs will remain on the company as it “has not complied with the minimum public shareholding requirements till date’’.
Consequently, the market regulator’s order dated 3rd December said “it becomes necessary for SEBI to confirm the directions issued vide the interim order against the company, its directors and promoters/promoter group.”
“... hereby confirm the directions issued vide interim order dated June 4, 2013 against the company, UP Hotels Ltd, its directors, promoters/ promoter group,” SEBI said.
“This order shall remain in force till further directions,” it added.
The market regulator, in June last year, had slapped various restrictions on over 100 firms, including UP Hotels, and their respective promoters and directors for not achieving the 25% public holding within the June 3 deadline.
The capital market regulator had frozen the voting rights and corporate benefits of promoters and directors of these companies and barred them from holding any new position on the boards of listed firms, among others.
Among others, UP Hotels and the joint managing directors, in their submissions to SEBI, had argued that they were not able to comply with the norms due to the restraint order dated 7 December 2012 and status quo order dated 20 March 2013 passed by a civil court.
However, SEBI noted that “prior to the orders of civil court also, the company had sufficient time to comply with the minimum public shareholding norms’’.
Goldman Sachs also said that it expects crude oil to climb up to $85 in 2015, while giving a positive outlook to India's prospects
The Indian economy will grow at 6.3% in 2015, said Tushar Poddar, India economist, Goldman Sachs. He expects India to become the fastest growing emerging market over 2016-18, overtaking China.
Poddar believes that balance sheets of the corporate sector and banks were a concern, but risks had peaked and would come down as macros improve.
Goldman Sachs expects crude oil to climb to $85 in 2015. Poddar said that GDP in the external environment will remain benign, and India's GDP should grow at 6.5% in FY16 and 7% in FY17.
Goldman Sachs feels that improvement in governance and micro-conditions – especially, the cost of doing business, rapid urbanisation and higher capital spending could lead to higher growth rates in the Indian economy.
With the latest deal, Sahara has come a step closer to raising the Rs10,000 crore that the SC had stipulated in order to secure bail for its chief, Subroto Roy
Sahara sold a big land parcel at the outskirts of the national capital for Rs1,211 crore to Gurgaon-based developer M3M India Ltd. Sahara Group has been trying to raise Rs10,000 crore in order to secure the release of its chief, Subroto Roy.
Earlier, Sahara was allowed by the Supreme Court, to sell four properties in order to raise about Rs2,710 crore out of the total of Rs10,000 crore. Besides this Chauma land, the court has also allowed the group to sell properties in Jodhpur, Pune and Vasai in Mumbai after it was satisfied that the transactions were in accordance with its June 4, 2014 order.
The 185-acre land in Gurgaon, with 12 million square feet built-up area, would be used for ‘mix-use development’ and has sales revenue potential of Rs12,000 crore, M3M India Ltd said today while announcing the deal.
The court had clearly directed Sahara that the sale could not happen at prices below a specified level. M3M India Director Pankaj Bansal also asserted that it was not a ‘distress sale’ by Sahara and the deal has been inked on the basis of market price.
The apex court bench was informed that the group has already generated Rs184.5 crore as part payment for its assets in Jodhpur, Chauma and Vasai, following which it was allowed to hand over three demand drafts and one cheque to SEBI’s counsel.
Out of a list of nine domestic properties submitted earlier to the court, Sahara has already sold its Ahmedabad property and has raised Rs411.82 crore.
Roy, who was sent to jail on March 4 this year in a case involving alleged non-refund of over Rs20,000 crore with interest to depositors, was asked by the court to pay Rs10,000 crore to get bail, out of which Rs5,000 crore should be paid in cash and rest of the amount in bank guarantee.
Sahara, which had earlier raised Rs3,117 crore and deposited with SEBI, told the court that out of nine domestic assets, it has now sold an Ahmedabad property and raised Rs411.82 crore, which has also gone into the account of the market regulator.