SEBI on Deccan Chronicle | Hyderabad-based English-language daily Dakshine Chronicle Holdings (DCHL) has been slammed by its stock market regulator Sebi for its promoters. DCHL and its promoters have been barred from trading in the securities market for two weeks. Previously the ban was only for one year. Ordered to pay a fine of Rs 8.20 crore for violating various laws. SEBI has found that loans taken by Southern Chronicle Holdings between 2008-09 and 2011-12 financial years were fraudulent in financial statements.
Southern Chronicle Holdings was fined Rs 4 crore, promoters T Venkatramireddy and T Vinayak Ravi Reddy Rs 1.30 crore, N Krishna Rs 20 lakh, and V Shankar Rs 10 lakh. In the stock markets, T Venkatramireddy, T Vinayak Ravi Reddy, PK Iyer, N Krishna, and V Shankar ordered both parties to directly or indirectly sell shares.
SEBI conducted an inquiry into the Deccan Chronicle (DCHL) between October 2011 and December 2012. In this case, DCHL and its promoters are under investigation by the SEBI for violating the Fraudulent and Unfair Trade Practices (PFUTP) Act. SEBI has confirmed that the company has violated the rules of the Insider Trading Regulation. The company’s chairman T Venkatramireddy and vice-chairman PK Iyer have made it clear that they have failed to comply with the law in making statements on the company’s financial position.