Sebi directs BSP Infra to return investors’ money within 90 days

Markets regulator Sebi on Tuesday directed BSP Infrastructure & Construction and its then managing director Pradip Samaddar to refund the money raised from investors within 90 days.
They have been directed to refund the money along with an interest of 15 per cent per annum, according to a Sebi order.
In addition, they have been barred from the capital markets for a period of four years or till the completion of refund to investors, whichever is earlier.
The company raised over Rs 11 crore by issuing secured redeemable debentures to 9,402 investors as on September 2016. It claimed to have repaid over Rs 3.2 crore to investors.
These debentures were issued to more than 48 persons during 2010-11, 2011-12 and 2012-13 without complying with the public issue norms specified under ILDS (Issue and Listing of Debt Securities) Regulations.
Since the debenture were issued by the firm to more than 48 people, it qualified as a public issue that requires compulsory listing on a recognised …