Using its enhanced powers, capital markets regulator Sebi has managed to recover dues in more than 100 cases over the past one year out of the 500 cases in which attachment orders were passed against various defaulters.
In those 500 cases, Sebi initiated more than 1,700 attachment proceedings and its efforts appear to be yielding results in many of them. In terms of amount, the regulator has been able to collect about Rs25 crore from various defaulters. Securities and Exchange Board of India (Sebi) began initiating attachment proceedings against defaulters, including individuals and companies, in October 2013 as part of greater powers granted to it by the Government.
Since then, the regulator has launched 1,756 attachment proceedings for recovery of penalties imposed in as many as 525 cases. These cases involved recovery of collective penalties totalling close to Rs2,000 crore, imposed on various entities in matters related to violations of capital market norms. A senior official said the market regulator has released attachment orders in cases where dues have been paid by the defaulters, while de-freezing the bank and demat accounts, among other assets.