Description

SEBI issues a prohibitory order under Recovery Certificate No. 2454 of 2019 against SBS Investments, P Srinivasa Thanga Durai, and P Soundravalli, restraining them from alienating or disposing of assets pending recovery of dues.

Summary

SEBI has issued a prohibitory order under Recovery Certificate No. 2454 of 2019 against SBS Investments, P Srinivasa Thanga Durai, and P Soundravalli in the matter of SBS Investments. The order restrains the noticees from alienating, transferring, or otherwise disposing of their assets until the outstanding recovery amount is paid in full.

Key Points

  • Prohibitory order issued under Section 28A of the SEBI Act, 1992 read with applicable recovery rules.
  • Recovery Certificate No. 2454 of 2019 was previously issued against the noticees for non-payment of dues arising from SEBI enforcement proceedings.
  • The three noticees — SBS Investments, P Srinivasa Thanga Durai (proprietor/director), and P Soundravalli (associated individual) — are restrained from disposing of movable and immovable assets.
  • Banks and financial institutions holding accounts of the noticees may be directed to freeze assets up to the outstanding dues amount.
  • The order remains in force until the recovery certificate amount is fully satisfied.

Regulatory Changes

No new regulatory framework changes. This order is an enforcement action under existing SEBI recovery provisions.

Compliance Requirements

  • SBS Investments, P Srinivasa Thanga Durai, and P Soundravalli must not alienate, transfer, hypothecate, or dispose of any assets without prior SEBI approval.
  • Any bank or financial institution served with this order must comply with the asset-freeze directions.
  • The noticees are required to satisfy the outstanding dues under Recovery Certificate No. 2454 of 2019 to secure a release of the prohibitory order.

Important Dates

  • Recovery Certificate No. 2454 originally issued: 2019
  • Prohibitory order issued: March 12, 2026
  • Order remains operative until dues are paid or SEBI issues a release order.

Impact Assessment

This is a targeted enforcement action against specific individuals and an entity (SBS Investments) and has no direct impact on broader markets or other market participants. The order is part of SEBI’s ongoing recovery proceedings to enforce payment of monetary penalties/dues. No listed securities or publicly traded entities appear to be directly involved.

Impact Justification

Entity-specific enforcement/recovery action against SBS Investments and named individuals; no broad market or regulatory change involved.