SEBI has issued a Final Order (ORDER/BS/CE/2026-27/32386) against Arun Panchariya (PAN: AEVPP6125N) in the matter of the Global Depository Receipt (GDR) issue by Winsome Yarns Ltd. This order follows a series of prior SEBI orders and Securities Appellate Tribunal (SAT) remands directing SEBI to recompute the penalty after partly setting aside earlier adjudication orders.

Key Points

• The original SEBI Order dated October 29, 2020 imposed a penalty of INR 25 Crore on Arun Panchariya for his role in the GDR issue by Winsome Yarns Ltd.
• SAT, vide order dated November 29, 2023 (Appeal No. 745 of 2021), partly allowed Panchariya’s appeal — affirming findings on the first leg of the GDR transaction but setting aside findings on the second leg and remanding for fresh adjudication.
• SEBI’s subsequent Adjudication Order dated May 07, 2024 found Panchariya involved in both legs of the GDR transaction, acting as a conduit in defrauding Indian investors, and imposed a revised penalty of INR 15 Crore.
• SAT, vide order dated December 10, 2025 (Appeal No. 508 of 2024), again partly allowed the appeal — upholding the finding on Panchariya’s role in the second leg but remanding the matter to SEBI solely for recomputation of the penalty quantum.
• The present Final Order is SEBI’s response to the second SAT remand, determining the appropriate penalty after reconsidering the quantum as directed.

Regulatory Changes

No new regulatory changes are introduced. This order is an enforcement/adjudication action under Section 15-I of the SEBI Act, 1992 read with Rule 5 of the SEBI (Procedure for Holding Inquiry and Imposing Penalties) Rules, 1995.

Compliance Requirements

• The order is directed at the individual noticee, Arun Panchariya, and does not impose any new compliance obligations on market participants generally.
• The noticee is required to comply with the penalty/directions as specified in this Final Order.

Important Dates

• October 29, 2020: Original SEBI Order imposing INR 25 Crore penalty
• November 29, 2023: SAT Order partly allowing Appeal No. 745 of 2021 and remanding the matter
• May 07, 2024: Second SEBI Adjudication Order imposing INR 15 Crore penalty
• December 10, 2025: SAT Order partly allowing Appeal No. 508 of 2024 and remanding for penalty recomputation
• April 2026: Present Final Order issued pursuant to SAT’s December 2025 directions

Impact Assessment

This order has limited direct market impact as it pertains to a historical GDR fraud case involving a single company (Winsome Yarns Ltd.) and one individual (Arun Panchariya). However, it carries precedential significance as it reflects SEBI’s persistent enforcement stance on GDR manipulation and the role of intermediaries acting as conduits in defrauding investors. The prolonged litigation history — spanning over five years with multiple SAT remands — underscores the complexity of cross-border securities fraud cases and SEBI’s commitment to securing accountability even through extended appellate proceedings.