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PACL case: Sebi introduces facility to view status of claim applications, rectify errors

Jan 15, 2020, 19:48 IST
PTI
New Delhi, Jan 15 () Sebi on Wednesday introduced a facility for investors of PACL Ltd, having claims of up to Rs 5,000, to view status of their applications and rectify errors in the form, so that the markets regulator can initiate the process of refund for such entities.

The regulator said the portal, wherein investors can view status of their claim applications, will be operational from January 24 and the last date for checking the status of applications and rectification of errors will be July 31, 2020, the Securities and Exchange Board of India (Sebi) said in a statement.

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PACL, which had raised money from the public in the name of agriculture and real estate businesses, was found by Sebi to have collected more than Rs 60,000 crore through illegal collective investment schemes (CIS) over a period of 18 years.

A panel headed by retired Justice R M Lodha had initiated the process of refunds for investors of PACL having claim amount up to Rs 5,000 and till date over 3.81 lakh such investors have been paid. However, certain applications could not be processed further on account of one or more errors.

The regulator in December said an opportunity will be provided to those whose applications had errors "to make good deficiencies as may be applicable to their claims, so as to enable their claims to be processed".

Accordingly, Sebi has asked investors to check the status of their claim applications online on https://www.sebipaclrefund.co.in and rectify the errors, if any. It further said the portal will be operational from January 24, 2020.

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"The last date for checking the status of claim applications and/or rectification of deficiencies will be July 31," the regulator said.

In December 2015, Sebi had ordered attachment of all assets of PACL and its nine promoters and directors for their failure to refund the money due to investors.

Sebi had asked PACL as also its promoters and directors to refund the money in an order dated August 22, 2014. The defaulters were directed to wind up the schemes and refund money to the investors within three months from the date of the order. SP

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