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of <h1>Asset Management Companies Face Stiff Penalties Under Section 15E for Non-Compliance with SEBI Regulations.</h1> Section 15E of the Securities and Exchange Board of India Act, 1992, mandates penalties for asset management companies of mutual funds that fail to adhere to regulatory restrictions. The penalty is set at a minimum of one lakh rupees, potentially increasing by one lakh rupees for each day the violation persists, with a cap of one crore rupees. Amendments in 2002 and 2014 revised the penalty structure, enhancing the financial repercussions for non-compliance with regulatory standards.
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