Monday, September 1, 2014

PACL to appeal against #SEBI refund order

Sebi has asked PACL (formerly Pearls Agrotech Corporation) to refund Rs 49,100 crore to investors within three months. Sebi has also ordered the immediate closure of unauthorized collective investment schemes (CIS) run by the company.

Property and infrastructure developer (PACL) today said it would appeal against the order of the Securities and Exchange Board of India (SEBI) to refund the money raised from investors. The company has decided to approach the Securities Appellate Tribunal (SAT) against SEBI's order that directed it to refund investors' money within three months.

PACL has assured investors that their deposits were safe. "We assure our customers that their investments are safe and their interests would not be jeopardized,” PACL said in a statement.

The company also said it is cooperating with all investigating agencies and has also offered to return investors' money by liquidating its assets in a planned manner.

“We are a law abiding, ethical and professionally run company which is facing scrutiny on account of certain business compliance issues. We have complied with all regulatory requirements and are fully cooperating with investigating agencies by providing every information that has been sought from us. Unfortunately, we have been handed an adverse order from SEBI, something which we will challenge before the Honorable Securities Appellate Tribunal (SAT),” PACL said.

“In our submission before SEBI bench, we had offered to refund investors’ money by liquidating our assets in a planned manner, a proposal which has been rejected by Honorable SEBI bench. However, the proposal vindicates our commitment to keep our customers’ interest paramount in any and every situation. As a law abiding company, we have full faith in the legal system of this country,” PACL said.

Reiterating its commitment towards it’s customers and investors, PACL said it has always kept their interest paramount and would continue to do so. “We will continue to serve our customers with integrity,” it added.