SEBI serves show-cause notice to Essel’s Amit Goenka

amit-goenka

Essel Group Chairman Amit Goenka, along with five others, including Shirpur Gold Refinery, has received a show-cause notice from the Securities and Exchange Board of India (SEBI) for alleged fraudulent practices and manipulation of financial statements. In response, SEBI has directed them not to dilute or sell their holdings in the company. An interim order by SEBI stated that Shirpur had allegedly created a scheme to divert funds from debtors to entities of promoter groups. SEBI has given Goenka and others 21 days to file responses or objections. Whole-time member of SEBI, Ashwani Bhatia, noted that the alleged scheme devised by promoters caused Shirpur’s defaults to lenders.