AI Drafter 
TaxTMI 
TaxTMI 
2015 (2) TMI 1287
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....e sheets, profit and loss accounts, details of the past and present directors, details of the funds mobilized under various schemes in order to ascertain whether it was carrying on the activities of a 'Collective Investment Scheme' (hereinafter referred to as 'CIS'). 2. HBN instead of replying to the SEBI letter, filed an application for registration as CIS on June 30, 2010. With the application, HBN also submitted the copies of certificate of incorporation, notice to its shareholders, minutes of the Extra-ordinary General Meeting, Trust Deed and 'Rule Book'. SEBI vide its letter dated July 23, 2010, sought certain documents/ details from HBN, as the information submitted was incomplete. HBN failed to provide such information/ details within the time specified. SEBI vide its letters dated September 22, 2010 and December 02, 2010, also sent reminders to HBN. Later, HBN vide its letter dated December 23, 2010, withdrew its application for registration, while submitting that it does not wish to initiate the activities covered under the CIS. 3. Thereafter, SEBI again vide its letter dated February 01, 2011, advised HBN to submit the information/ documents ....
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....od of twenty one (21) days from the date of receipt thereof. It was also informed that in case of failure to reply, it would be presumed that HBN had no explanation to offer and that SEBI shall proceed in the matter on the basis of the material available on record. 6. No reply was received from the noticees. However, before proceeding further in the matter, an opportunity of personal hearing was granted to all the noticees on July 11, 2013. In the meantime, the noticees namely HBN, Mr. Harmender Singh Sran, Mr. Amandeep Singh Sran, Ms. Manjeet Kaur Sran and Ms. Jasbeer Kaur vide letter dated July 09, 2013, submitted a common reply, which was taken on record. The submissions made by HBN, in brief are as under: a. The present management of HBN consists of Mr. Harmender Singh Sran, Mr. Amandeep Singh Sran, Ms. Manjeet Kaur Sran and Ms. Jasbeer Kaur. Other noticees i.e. Mr. Satnam Singh Randhawa, Mr. Gajraj Singh Chauhan, Mr. Rakesh Kumar Tomar, Mr. Sukhdev Singh Dhillon and Ms. Sukhjeet Kaur have ceased to be the directors of HBN and their names may be dropped from the present proceedings. b. The schemes/ plans of HBN are not in the nature of CIS. The money is pro....
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....Ms. Shreya Bhandari, Practising Company Secretary appeared for HBN, Mr. Harmender Singh Sran, Mr. Amandeep Singh Sran, Ms. Manjeet Kaur Sran and Ms. Jasbeer Kaur and made oral submissions. During the course of personal hearing the authorised representatives submitted that the money is taken as trade deposits and assured returns were given for its schemes. It was also admitted that HBN has deposits of around Rs.1,100 crore, collected from the public. The representatives also expressed the intentions of HBN and its directors, in repaying the amount so collected, back to the public. 8. The submissions made were duly considered by SEBI and an interim order dated July 12, 2013 (hereinafter referred to as 'interim order') was issued with the following directions: "a. HBN and its directors Mr. Harmender Singh Sran, Mr. Satnam Singh Randhawa, Mr. Amandeep Singh Sran, Mr. Gajraj Singh Chauhan, Ms. Manjeet Kaur Sran, Ms. Jasbeer Kaur, Mr. Rakesh Kumar Tomar, Mr. Sukhdev Singh Dhillon and Ms. Sukhjeet Kaur, shall not solicit or collect any further money/ investments from investors/ customers into its schemes or launch or carry out any money collection schemes. b. ....
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....cedure. 11. At this stage, SEBI felt it imminent to revive the SCN and call upon HBN and its directors to explain the deviation from the approved process. Accordingly, an opportunity of personal hearing was granted to HBN on December 12, 2014. However, HBN through its Managing Directors namely Mr. Amandeep Singh Sran vide email dated December 02, 2014, requested for an adjournment on the ground of a family wedding. The request was acceded to and the hearing was rescheduled to January 09, 2015, which was rescheduled to January 14, 2015, due to certain administrative exigencies. Thereafter, HBN vide its email dated January 02, 2015, requested for change of the venue of the hearing to Delhi. The request was acceded to and the matter was rescheduled to January 16, 2015. On the date fixed, Ms. Anju Jain, Advocate; Mr. Hitesh Sachar, Advocate; Mr. Punkaj Jain, FCA and Mr. Sunil Arora, FCA appeared for the noticees namely HBN, Mr. Harmender Singh Sran, Mr. Amandeep Singh Sran, Ms. Manjeet Kaur Sran and Ms. Jasbeer Kaur and made oral submissions that it has repaid about Rs.242 crore to its investors. The representatives also relied upon the written submissions filed on January 15, 2015.....
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....ies so as to enable SEBI to accede to their request of winding up of the schemes. c. SEBI vide its order dated July 12, 2013, with a view to permit HBN to refund the money of its customers, issued various directions. Pursuant to passing of such directions, HBN has been complying with these and subsequent orders/ directions without any default. It has stopped receiving/ collecting money from its customers and has disposed of the properties only for the purposes of repaying its customers. It has been filing the details of the investors with the repayment/ refund details from time to time to SEBI. As on December 18, 2014, HBN has repaid Rs.242.17 crore to 2,36,307 investors. d. HBN has been regularly reporting to SEBI about the development vis-a-vis the repayment to the investors and has been adhering to each and every communication/ direction received from SEBI. e. HBN has sold various assets and have also liquidated the investments of the group companies to repay to its investors. It is still in search of prospective buyers for its various properties. However due to the depressed market conditions/ liquidity crunch HBN is facing lack of interest from the b....
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....a & Associates to SEBI for their appointment as concurrent auditors, which was also approved by SEBI on July 9, 2014. Due to the change in the concurrent auditor and delay in approval by SEBI, the process of concurrent audit has been delayed. However, such audit is in process and the report is expected to be submitted to HBN and SEBI soon. j. In the meantime, HBN was also faced with a winding up petition filed by an alleged creditor of a group company viz. Pier-One Construction Pvt. Limited. The petition had been filed on the premise that one of the group companies namely HBN Home and Colonisers Pvt. Limited has been unable to pay the dues for certain job work carried out. Hon'ble High Court of Delhi vide its order dated July 30, 2014 passed an ex parte directions to HBN whereby the Company was restrained from selling, alienating, transferring or parting with the possession and creating any third party rights in the immovable assets of the Company and its subsidiaries. The alleged claim has been settled on September 6, 2014 and HBN has moved an application seeking recalling of the directions of Hon'ble High Court. As per the order dated December 09, 2014, Hon....
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....payments made. I note that HBN was initially incorporated on December 29, 1998. As per the Memorandum of Association of HBN, the main objects of it, inter-alia are as under: "... ... . 1. To carry on whether as principles or agents, the business of buying, selling, importing, exporting, procuring, processing, extracting, making, preserving, packaging, bottling and canning milk and all milk products including condensed milk, powdered milk, cream, butter, butter oil, ghee, cheese, ice cream and the business of dairy farming. ... ... 3. To produce / cultivate / market agricultural products, like tea, pulses, rice, flour, spice, juices, wheat, in packed / loose in any form and derivatives. ... ... 4. To further the dairy activity purchase, sell, resell, livestock, its breeding and development, besides also carrying out the same activities on or behalf of individual or organization on a contractual / joint venture basis." A reading of the objects as stated in the Memorandum of Association shows that the Company is also in the business of breeding and development of livestock and dairy products. b. I have perused the co....
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....500-10,000 From the rule book, it is also noted that the plans offered by HBN can be categorised in two, as detailed hereunder: TABLE C Category I Category II Plan No. A 72 months (6 years) Plan D 66 months (5&1/2 years) Plan No. C 108 months (9 years) Plan E 75 months (6 & 1/4 years) Plan No. C1 80 months (6 years 8 months) Plan F 108 months (9 years) The main difference in Category I and II is that under Category I plans, the payments by the customers are made in lump-sum. Under Category II plans, the payments by the customers are made in installments. Other difference in the plans floated by HBN is with regard to the tenure of the plan and returns thereof. - An illustration of plans under Category I is as under: TABLE D Plan No. 'C' for 108 months (9 years) S. No. Consideration cost of Cattle/ Ghee Expected Cost of Developed Cattle/ Ghee Accidental Death Compensation (Rs.) 1 5,000 11,500 5,000 2 10,000 23,000 10,000 3 15,000 34,500 15,000 4 20,000 46,000 20,000 5 25000 57,500 25,000 10 50,0....
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....ion of cost of cattle/ ghee, expected cost of the developed cattle/ ghee and the 'accidental death compensation'. c. Though HBN vide its letter dated March 21, 2012, had specifically denied that it does not have any brochures/ application forms, however, it is noted that the 'rule book' specifically mentions about the 'application form'. I have seen the sample 'application form' and 'joint venture agreement' received along with an investor complaint which was forwarded to HBN on April 05, 2013. The application form is a pre-printed document containing the following salient features: "5. The company does not accept any responsibility for issuing notice to Joint Venturer for payment of the Products installments and non-receipt of notice shall not be accepted as a valid ground for non-payment of any Products installment. If however, any notice or reminder is issued, such notice or reminder should not be considered as obligatory on the part of the company and should not be taken as a precedent under any circumstances. 6. The company shall issue certificate on the basis of application form. A certificate issued by compan....
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.... person described in Schedule hereto is Registered Joint Venturer of Consideration as shown in Schedule under Plan of Company, subject to the regular payment of Subscription(s) as mentioned in the said Schedule and also subject to "General Terms and Conditions" printed overleaf and Terms and Conditions as per Rule Book, as may be amended from time to time, ... .... It is hereby declared that Schedule, 'General Terms & Conditions' and other Terms & Conditions of Rule Book, as amended from time to time, shall be deemed to be a part of this Certificate." The Certificate contains the details such as the name and address of Joint Venturer, registration number, date of commencement, plan no./ term, cost of cattle/ ghee, etc. The 'certificate' further provides for the 'expected sum payable on expiry of term C.O.C./ Ghee', date of last payment and date of expiry of term. This document is more in the nature of a certificate of investment, recording the investment made by the customer and the appreciated value available on completion of the term. A few other samples of 'certificate' also states that 'At the end of Term 10% of Consideration Amount wil....
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....ions came to be framed. Several entities were mobilizing huge money by issuing various instruments and offering very high rates of return inconsistent with the normal rate of returns and then misutilising these funds, for the purposes not disclosed at the time of inviting the investments, thereby not only causing loss to the investors who lost their life savings to such unscrupulous entities, but also eroding the confidence of the general public. Considering the high element of risk associated with such schemes, the Government of India felt that it was necessary to set up an appropriate Regulatory framework to regulate such entities. Hence, in order to protect the interest of the investors and to ensure that only legitimate investment activities are carried on, vide press release dated November 18, 1997, the Government of India communicated its decision that schemes through which instruments such as agro bonds, plantation bonds, etc., are issued by the entities, would be treated as Schemes under the provisions of the SEBI Act and directed SEBI to formulate Regulations for the purpose of regulating these CISs. It was against this background that Section 11AA of the SEBI Act and the ....
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....mendment) Ordinance, 2014 under which, (i) the contributions, or payments made by the investors, by whatever name called, are pooled and utilized solely for the purposes of the scheme or arrangement; (ii) the contributions or payments are made to such scheme or arrangement by the investors with a view to receive profits, income, produce or property, whether movable or immovable from such scheme or arrangement; (iii) the property, contribution or investment forming part of scheme or arrangement, whether identifiable or not, is managed on behalf of the investors; (iv) the investors do not have day to day control over the management and operation of the scheme or arrangement. [(2A)] Any scheme or arrangement made or offered by any person satisfying the conditions as may be specified in accordance with the regulations made under this Act.] (3) Notwithstanding anything contained in sub-section (2) [or sub-section (2A)], any scheme or Arrangement: i. made or offered by a co-operative society ii. under which deposits are accepted by non-banking financial companies iii. being a contract of insurance i....
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....f the plans offered by the Company for purchase and rearing of cattle. Further, the certificate as provided by HBN, does not contain any column to specify the details of cattle allocated to the joint venturer/ investors. The above representations by HBN in its 'rule book' and observations are sufficient to find that the 'contributions, or payments made by the investors, are pooled and utilised by HBN for the purposes of the scheme or arrangement', the scheme being to further the dairy activity. Thus, satisfying the first condition as stipulated in Section 11AA(2)(i) of the SEBI Act. HBN has submitted that the amounts taken from its customers are not solely utilized for the purpose of purchase and rearing of cattle and maintenance of dairy farms but a part of this amount is also used for investment in acquisition of fixed assets and investment of properties through its subsidiary/ associate companies. The same has not been referred in any of the documents viz., application, certificate, agreement, and receipt. ii. The second condition is that the contributions or payments are made to such scheme or arrangement by the investors with a view to receive profits, in....
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....ny only. I also note that in the plans of HBN, at the time of making the initial contribution/ payment, the customer/ investor decides inter alia the category, plan number, term of the plan, etc. It can be said that the customer/ investor does not take part in the acquisition, development or management of the cattle and its rearing. The customer/ investor also does not manage his investments in the plans/ schemes rather his investments are managed and utilized by the Company. The above discussion and the general scheme of activities of the Company, makes it very clear that the property, contribution and investment pertaining to the plan/ scheme are managed by the Company. Further, it is also clear that the customer does not have day to day control over the management and operations of the scheme or arrangement. Such day to day control over management and operations of such schemes are also looked after by the Company and its directors. k. As all the four conditions specified under section 11AA(2) of the SEBI Act are satisfied in this case, the schemes/ plans promoted, launched, carried on and operated by the Company are in the nature of CIS in terms of section 11AA(1). In ....
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....vestment in the form of rupee, anna or paise gets registered with the authority concerned and the provision would further seek to regulate such schemes in order to ensure that any such investment based on any promise under the scheme or arrangement is truly operated upon in a lawful manner and that by operating such scheme or arrangement the person who makes the investment is able to really reap the benefit and that he is not defrauded ... ... It is, therefore, apparent that all other schemes/arrangements operated by all others, namely, other than those who are governed by sub-section 3 of Section 11AA are to be controlled in order to ensure proper working of the scheme primarily in the interest of the investors. ... ... 42. Therefore, in reality what sub-section (2) of Section 11AA intends to achieve is only to safeguard the interest of the investors whenever any scheme or arrangement is announced by such promoters by making a thorough study of such schemes and arrangements before registering such schemes with the SEBI and also later on monitor such schemes and arrangements in order to ensure proper statutory control over such promoters and whatever investm....
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....apacity. Therefore, I have no hesitation in holding that HBN and its directors namely Mr. Harmender Singh Sran, Mr. Satnam Singh Randhava, Mr. Amandeep Singh Sran, Mr. Gajraj Singh Chauhan, Ms. Manjeet Kaur Sran, Ms. Jasbeer Kaur, Mr. Rakesh Kumar Tomar, Mr. Sukhdev Singh Dhillon and Ms. Sukhjeet Kaur were engaged in the fund mobilising activity by floating/ sponsoring/ launching, unregistered/ unauthorised CIS, as defined in the Section 11AA of the SEBI Act. m. Section 12(1B) of the SEBI Act mandates that no person, shall sponsor or cause to be sponsored or carry on or caused to be carried on any CIS unless it obtains a certificate of registration from SEBI in accordance with the CIS Regulations. HBN has clearly failed to do so. Regulation 3 of the CIS Regulations provides that no person other than a Collective Investment Management Company which has obtained a certificate under the said regulations shall carry on or sponsor or launch a 'collective investment scheme'. A person can launch or sponsor or cause to sponsor a collective investment scheme only if it is registered with SEBI as a Collective Investment Management Company. Therefore, the launching/ floating/ spons....
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....e initiating the process of selling the properties, HBN and its group companies have to get the valuation of the assets counter checked by an independent Government approved valuer. Such valuer may be appointed by HBN after receiving the due approval of SEBI. - After appointment of RTA, the independent valuer and the concurrent auditor, the details of procedure/ modalities of repayment of money to the investors are required to be finalized in consultation with the RTA, concurrent auditor and SEBI. - HBN has to deposit the money as per the following time lines so that the money can be repaid to the investors within a time of one year: TABLE F S.No. Time lines % of the money deposited 1 Within two days of opening of escrow account 100% of cash/ deposits in any form with bank or other institutions available with HBN 2 Within three months from the date of receipt of SEBI letter 33% of the remaining total money due to the investors 3 Within six months from the date of receipt of SEBI letter 33% of the remaining total money due to the investors 4 Within nine months from the date of receipt of SEBI letter 34% of the remaini....
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....tated in the procedure for repayment. While replying, HBN vide its letter dated May 13, 2014, informed that it would be depositing the cash and other deposits, if any, in the escrow account. HBN also stated that it is in the process of filing another representation in relation to the repayment procedure as the existing procedure would put it in unnecessary hardship, as about 15 lakh of its investors are holding deposits in the range of Rs.1,000 - 5,000 and repaying these in tranches would increase the cost. Vide this letter, HBN also informed that they have repaid Rs.193.73 crores to 2,00,517 investors including the returns due to investors on the date of payment. In this regard, a meeting was held between SEBI and HBN on May 15, 2014, wherein, inter-alia, the following was communicated to HBN: - The amount balance in the bank accounts of HBN (the details of which were submitted vide letter dated April 17, 2014) is required to be transferred to the escrow account opened for the repayment. For the same, the account statement of all these accounts are required to be submitted by HBN to SEBI by May 19, 2014. HBN to bring in the 33% of the repayment amount in the escrow acc....
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....properties inspite of its best efforts or is compelled to sell these at a price lower than the market price of the property. The Company has to pay about Rs.35 crore to 9 lakh investors who have invested up to Rs.1,000. Further, about 6.32 lakh investors who have invested about Rs.165 crore are in the range of Rs.1,000 - Rs.5,000. HBN has said that repaying these investors in three tranches would increase the cost in terms of cheque printing and RTA cost thus making repayment process highly costly. HBN would repay to the investors in one go instead of tranches. - There are investors whose maturity is due and payment to them are not made. HBN intends to make payments in one go to these investors on preferential/ category wise basis: TABLE H S.No. Repayment on preferential/ category wise basis Amount (in crore) 1. Repayment to investors whose payments have matured and amount is due Rs.117 2. Repayment to small investors holding amount upto Rs.5,000 Rs.200 3. Repayment to the rest of the investors as per maturity on FIFO basis Rs.626 - HBN generally receives the certificates before the payment of maturity amount. In the ....
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....s and other lending institutions for granting loan against property. It has also been said that the banks and other institutions are hesitant in providing any loan assistance to HBN as there is no explicit direction, in the interim order of SEBI, in this regard. Vide this letter, HBN also sought clarification whether or not HBN can obtain loan against property for the purpose of repayment to the investors. h. Vide another letter dated July 15, 2014, HBN intimated SEBI about the difficulties faced by it in operating the escrow account. It has been said by HBN vide submissions dated February 02, 2015 that for the operation of escrow account the bank has not given specimen stationery and the escrow account could not be made operational/ functional. SEBI while replying vide its letter dated July 18, 2014, advised HBN to forward all the correspondences exchange by it with the Bank of Baroda, in this regard. HBN has not submitted such correspondences, till date. This conduct of HBN is highly objectionable. In the absence of any substantial deposits made by HBN in the escrow account for the purposes of making repayments to the investors and the above conduct of HBN, it can be inferred ....
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....ning investors of not getting their money back unless money is deposited in new scheme. These complaints are serious in nature and have been forwarded to HBN for early resolution. In addition to the above, an investor/ customer namely Dr. Prajakta C. Deaore who was given the 'registration certificate' on November 21, 2011, has intimated to SEBI that HBN is still collecting monthly installment in the scheme and is issuing receipts in the name of 'HBN Foods Limited' with the earlier 'registration certificate' number and date. SEBI vide its letters dated July 03, 2014 sought explanation on the issue from HBN. As no information was forthcoming, reminders letters were also issued to HBN on August 07, 2014, September 11, 2014 and email dated September 22, 2014. HBN has replied to SEBI and informed that they have repaid to the said investors. However, till date HBN has not submitted the explanation with regard to the issuance of certificate by HBN Foods Limited. Thereafter, another investor namely Ms. S. Padmini vide her letter dated October 01, 2014, has submitted that 'HBN Dairies & Allied Limited' is now known as 'HBN Foods Limited'. Vide anot....
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.... returned with the reason 'funds insufficient'. In view of the samples discussed above, I note that HBN is trying to give an impression that it has paid to its customer. However, the fact is that the cheques issued are being bounced and the investors/ customers still remain unpaid. It is also important to note that HBN has claimed that the investors have been repaid in the month of January 2014, however, the cheques were issued in the month of March 2014 and the bank account statement of HBN states that the cheques were returned in June 2014 (in the case of Virendra) and May 2014 (in the case of Ram Dayal). From the above discussion, one can say that the tall claims made by HBN of repaying about Rs.242 crore to its over two lakh investors are not correct. It is likely that the amount actually repaid by HBN to its investors may be much less then what has been claimed. l. HBN in its submissions dated January 14, 2015, has said that a panic had been spread due to publication of advertisement/ public notice in search of prospective buyers and groups of investors had visited the office of HBN and had demanded payments. According to HBN, the same had created unnecessary pre....
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....ount within three (3) months. - HBN preferred to settle the case by paying the amount. Hon'ble Delhi High Court in its order dated November 14, 2014, has also noted that HBN settled the disputes so that further enquiry or investigation into the matter does not take place. - The Chartered Accountant appointed by the Hon'ble Delhi High Court, in his report dated September 16, 2014 had highlighted diversion of funds by HBN to its sister concern. The report also states that the net worth of HBN is in negative by Rs.75,34,82,859 due to losses of Rs.85,44,82,859. - Hon'ble Delhi High Court in its order dated November 14, 2014, has also prima facie observed substantial lapses and transfer of funds between HBN and its subsidiaries and referred the matter to Serious Fraud Investigation Office (SFIO). - The available facts show that HBN is still collecting money from its investors by giving the receipts in the name of HBN Foods Limited. - I note from the balance sheet of HBN as on March 31, 2014, that it has given long term 'loans to subsidiaries' to the tune of Rs.350,38,34,972.92 (more than Rs.350 crores). The figure for the long term 'loans and advan....
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....udit of HBN for 1,99,877 investors amounting to Rs.192.96 crore. Under the brief summary of the audit, the following has been submitted: - HBN has paid to 45,670 investors through cheques and 1,54,207 investors through cash. Such payments have been made without the supervision of RTA. - The physical data like the application form, ledger account, identity proofs, maturity bonds, payment vouchers were not scattered is different godowns. In certain cases full chain of repayments were not available. - HBN has used the stationary of group companies for making payments in certain cases. - HBN has issued post dated cheques in certain cases. - The auditor has pointed out that an amount equivalent to 25% of the amount due is recovered as penalty if the investor wish to redeem the investment before the maturity date. In this report, the auditor have inter alia recommended that (i) no cash payments be made in future and payments be made through cheques from escrow account under supervision of RTA, (ii) full chain of documents (from application to repayment) be maintained at one place, (iii) procedure of issuing post dated cheques should be stopped immediately. The auditor h....
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....te that the Company had all the opportunity to sell its properties since July 12, 2013 (except for the period July 30, 2014 to December 09, 2014, when the restraint order of Hon'ble Delhi High Court was operative) and make repayments to its investors. I also note that there was no restraint on recalling the loans and advances so as to make the repayments. In view of the above discussion, I have no hesitation in holding that HBN failed to comply with the directions of SEBI issued vide Order no. WTM/PS/15/CIS/NRO/JULY/2013 dated July 12, 2013 read with the Repayment Procedure forwarded to HBN on January 06, 2014. 21. In view of the observations made in this Order, I, in exercise of the powers conferred upon me under Section 19 of the Securities and Exchange Board of India Act, 1992 and Sections 11(1), 11B and 11(4) thereof and Regulation 65 of the SEBI (Collective Investment Schemes) Regulations, 1999, hereby issue the following directions: a. HBN Dairies & Allied Limited [PAN: PAN: AAACH7852C] and its directors/ former directors namely Mr. Harmender Singh Sran [PAN: AIGPS2229B], Mr. Satnam Singh Randhava, Mr. Amandeep Singh Sran [PAN: AUVPS5370E], Mr. Gajraj Singh Ch....
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....are also directed to provide a full inventory of all their assets and properties and details of all their bank accounts, demat accounts and holdings of shares/securities, if held in physical form. g. In the event of failure by HBN Dairies & Allied Limited and its directors namely Mr. Harmender Singh Sran, Mr. Amandeep Singh Sran, Ms. Manjeet Kaur Sran and Ms. Jasbeer Kaur to comply with the above directions on or before March 09, 2015, the following actions shall follow: - HBN Dairies & Allied Limited and its directors namely Mr. Harmender Singh Sran, Mr. Amandeep Singh Sran, Ms. Manjeet Kaur Sran and Ms. Jasbeer Kaur shall remain restrained from accessing the securities market and would further be prohibited from buying, selling or otherwise dealing in securities, even after the period of four (4) years of restraint imposed in Paragraph 20 (b) above, till all the Collective Investment Schemes of HBN Dairies & Allied Limited are wound up and all the monies mobilized through such schemes are refunded to its investors with returns which are due to them. - SEBI would make a reference to the State Government/ Local Police to register a civil/ criminal case ag....