SEBI bars Mallya from securities market for another 3 years

PTI
New Delhi, Delhi, India Published: Jun 01, 2018, 10:00 PM(IST)

Vijay Mallya has been on a self-imposed exile in the UK since he left India on March 2, 2016. Photograph:( Zee News Network )

SEBI on Friday barred fugitive businessman Vijay Mallya from the securities market for another three years as also from holding directorship in listed companies for five years in the case of illegal fund diversions at United Spirits Ltd.

Besides, the watchdog has imposed a one-year ban on two former company officials -- Ashok Capoor and P A Murali.

Through an interim order in January 2017, the regulator had barred Mallya and six former officials of United Spirits, including Capoor and Murali, from the securities markets in the case related to illegal fund diversions.

In a 38-page order, Sebi said it has banned Mallya for three years from the securities market.

He has also been barred from "holding position as director or key managerial person of a listed company for a period of five years", it added.

Capoor and Murali have been restrained from holding directorship or key managerial positions for one year.

"In the context of diversion of funds perpetrated in a listed company by way of dubious and concealed financial statements/ projections or false books of accounts, it is inevitable that Sebi should step in and take appropriate action..," Sebi Whole Time Member G Mahalingam said in the order. 

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