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SEBI Revokes Directions Against Regstreet Clients in Bharat Global Developers Matter

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π’π„ππˆ π‘πžπ―π¨π€πžπ¬ 𝐀π₯π₯ πƒπ’π«πžπœπ­π’π¨π§π¬ π€π πšπ’π§π¬π­ π‘πžπ π¬π­π«πžπžπ­ 𝐂π₯𝐒𝐞𝐧𝐭𝐬 𝐅𝐨π₯π₯𝐨𝐰𝐒𝐧𝐠 πƒπžπ­πšπ’π₯𝐞𝐝 𝐈𝐧𝐯𝐞𝐬𝐭𝐒𝐠𝐚𝐭𝐒𝐨𝐧 𝐒𝐧 𝐁𝐑𝐚𝐫𝐚𝐭 𝐆π₯π¨π›πšπ₯ πƒπžπ―πžπ₯𝐨𝐩𝐞𝐫𝐬 𝐌𝐚𝐭𝐭𝐞𝐫

Regstreet Law Advisors represented certain Noticees before Securities and Exchange Board of India (SEBI) in proceedings arising from the Interim Order dated December 23, 2024 in the matter of Bharat Global Developers Limited (β€œBGDL”). The matter was led by Sumit Agrawal, Founder & Managing Partner, along with Kavish Garach, Senior Associate and the team.

The proceedings arose from SEBI’s prima facie allegations of a broader manipulative scheme in the scrip of BGDL involving substantial preferential allotments, allegedly false and misleading corporate disclosures, alleged misstatements in financial information and a sharp increase in the price of the scrip, followed by sale of preferentially allotted shares.

Insofar as the represented Noticees were concerned, the allegations included the sale of preferentially allotted shares after expiry of the lock-in period at prices alleged by SEBI to have been artificially inflated, with the corresponding alleged gains being impounded.

The Interim Order had resulted in significant protective directions, including restraints on accessing the securities market, impounding of alleged unlawful gains, restrictions on bank and demat accounts and a prohibition on dealing in the shares of BGDL. These directions were subsequently confirmed by SEBI’s Confirmatory Order dated March 26, 2025.

π–π‘πšπ­ 𝐭𝐑𝐞 π‘πžπ―π¨πœπšπ­π’π¨π§ 𝐎𝐫𝐝𝐞𝐫 π‘πžπœπ¨π«ππ¬

SEBI records that its investigating team conducted a detailed investigation into the role of the Noticees against whom the Interim Order had been passed and SEBI concluded that the interim directions against certain Noticees, including Regstreet’s clients, were β€˜not warranted’ and revoked all such directions with immediate effect.

The order can be accessed at https://lnkd.in/dXCqcCMH

Readers can write to Regstreet Law Advisors at info@regstreetlaw.com

#Regstreet #SEBI #SecuritiesLaw #SecuritiesEnforcement #CapitalMarkets #PFUTP #RegulatoryLaw #SEBIOrders #BharatGlobalDevelopers

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