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LATEST NEWS UPDATES | Refund order to Alchemist Infra

Refund order to Alchemist Infra

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published Published on Jun 23, 2013   modified Modified on Jun 23, 2013
-The Telegraph


Kolkata: Sebi has barred Alchemist Infra Realty Ltd from continuing its collective investment scheme and ordered that investors, several of whom are said to be in Bengal, be refunded within three months.

The capital market watchdog's order said the company had denied it had anything to do with Alchemist Group, which is run by the family of K.D. Singh, a Rajya Sabha member from the Trinamul Congress. Some party leaders and MPs had come under fire after the collapse of Saradha, which was also collecting deposits in the name of collective investment schemes.

Alchemist Infra Realty is registered in Delhi but industry sources said it had a considerable presence in West Midnapore.

The Sebi order said Alchemist Infra Realty had mobilised Rs 1,087 crore as on March 31, 2011. Sebi did not specify the states where the company had operations, but the order listed many Bengali names among the company's investors.

Five directors of Alchemist Infra Realty have also been barred by Sebi from operating collective investment schemes.

Sebi said it would make a reference to the state government and local police to register civil/criminal case against the company. The order did not specify if it meant the state where the company is registered, in which case it will be Delhi, or the states where it operated, in which case Bengal will also have to take action.

The Sebi order said an application by one of the "investors" in Alchemist Infra Realty had mentioned Alchemist Group, whose chairman emeritus is Singh, and listed its activities.

In response to an emailed question from The Telegraph whether Alchemist Infra Realty is part of Alchemist Group, Sarabhjot Kaur, corporate communications head of Alchemist, said tonight: "This Sebi order has come in on Friday evening and our legal department is studying it. We reiterate that Alchemist is a law-abiding group and will abide by the directions of the law of the land. Beyond this, we will not like to respond at this stage."


The Telegraph, 23 June, 2013, http://www.telegraphindia.com/1130623/jsp/frontpage/story_17038529.jsp#.UcZ1Stjcjco


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