Description
SEBI has debarred four individuals from accessing securities market for 3 months for violating takeover regulations related to Sungold Capital Limited in 2007.
Summary
SEBI has issued an order (WTM/AN/IVD/ID5/31713/2025-26) dated October 08, 2025, debarring four individuals from accessing the securities market for a period of 3 months. The entities are prohibited from buying, selling or otherwise dealing in securities, either directly or indirectly. The order relates to violations of SEBI (Substantial Acquisition of Shares and Takeover) Regulations, 1997 in connection with acquiring shares of Sungold Capital Limited in 2007.
Key Points
- Four individuals debarred: Mrs. Shilpa Amit Kotia (PAN: AHEPK2567R), Mrs. Shweta Dhaval Kotia (PAN: AHEPK2566Q), Mr. Dhaval Ramesh Kotia (PAN: ADUPK0459Q), and Mr. Ravi Rajiv Kotia (PAN: AUEPK3142K)
- Debarment period: 3 months from October 08, 2025
- Violations relate to breach of open offer thresholds under SAST Regulations 1997
- Original SEBI order dated July 07, 2020 directed the entities to make a public announcement for a combined open offer
- Sungold Capital Limited is listed on BSE and engaged in media & entertainment, trading and finance
- The case involves violations of Regulation 10 and 11(1) of SAST Regulations 1997
Regulatory Changes
No new regulatory changes introduced. This circular enforces existing takeover regulations under SEBI (Substantial Acquisition of Shares and Takeover) Regulations.
Compliance Requirements
- NSE members must take note of the debarment order and ensure compliance
- Debarred entities are restrained from accessing securities market for 3 months
- Debarred entities cannot buy, sell or deal in securities directly or indirectly during the debarment period
- Members can refer to consolidated list of debarred entities at: https://www.nseindia.com/regulations/member-sebi-debarred-entities
- Queries should be directed to dl-invsg-all@nse.co.in
Important Dates
- SEBI Order Date: October 08, 2025
- NSE Circular Date: October 09, 2025
- Debarment Start Date: October 08, 2025
- Debarment Period: 3 months from October 08, 2025
- Original Violation: 2007 (acquisition of SCL shares)
- Previous WTM Order: July 07, 2020
Impact Assessment
Market Impact: Limited direct market impact as the debarment affects specific individuals rather than institutional participants. The order pertains to historical violations from 2007.
Company Impact: Sungold Capital Limited may face continued scrutiny. The company’s promoter group members are subject to market access restrictions.
Regulatory Significance: Demonstrates SEBI’s continued enforcement of takeover regulations even for historical violations. The case originated from a 2020 order and shows persistent regulatory follow-through on compliance matters.
Investor Consideration: Investors should be aware of the consolidated list of debarred entities maintained by NSE to avoid transactions with restricted parties.
Impact Justification
Enforcement action against specific individuals with limited market-wide impact, but demonstrates regulatory oversight of takeover violations