Description

SEBI issues demand notice against Shivakumar Gattai Kamballa for Rs. 14,10,000 plus interest in the matter of Generic Engineering Construction and Projects Limited, following recovery certificate proceedings.

Summary

SEBI has issued a Notice of Demand dated October 9, 2025, under Recovery Certificate No. 8920 of 2025 against Shivakumar Gattai Kamballa in the matter of Generic Engineering Construction and Projects Limited. The demand is for Rs. 14,10,000 (Rupees Fourteen Lakhs Ten Thousand) plus simple interest at 12% per annum from the date of the certificate until full recovery.

Key Points

  • Demand issued against: Shivakumar Gattai Kamballa
  • Recovery Certificate Number: RC No. 8920 of 2025
  • Principal Amount: Rs. 14,10,000
  • Interest Rate: 12% per annum (simple interest)
  • Interest Period: From date of certificate until date of recovery
  • Related Matter: Generic Engineering Construction and Projects Limited
  • Notice Date: October 9, 2025

Regulatory Changes

No regulatory changes are introduced in this notice. This is an enforcement action under existing recovery mechanisms.

Compliance Requirements

  • Shivakumar Gattai Kamballa is required to pay the demanded amount of Rs. 14,10,000 plus applicable interest
  • Payment must be made within the timeframe specified under recovery certificate proceedings
  • Failure to comply may result in further recovery actions including attachment of assets

Important Dates

  • October 9, 2025: Date of Notice of Demand issuance
  • Interest Accrual: 12% per annum simple interest from the date of recovery certificate until full payment

Impact Assessment

Market Impact: Minimal. This is a specific enforcement action against an individual related to a particular company matter.

Entity Impact: High impact on Shivakumar Gattai Kamballa, who faces a significant financial demand with ongoing interest charges.

Investor Impact: No direct impact on general investors or market participants.

Compliance Implications: Reinforces SEBI’s commitment to recovering dues through formal recovery certificate mechanisms under the Recovery of Debts and Bankruptcy Act or similar provisions.

Impact Justification

This is a specific enforcement action against an individual in relation to a recovery certificate. While severe for the named person, it has minimal market-wide impact and affects only the specific entity involved in debt recovery proceedings.