Market regulator Sebi today disposed of a case against Prakash Industries related to non-compliance with disclosures norms, saying there was absence of "concrete evidence" against the company.
Prakash Industries, had submitted to the Securities and Exchange Board of India (Sebi) receipts of its disclosures to the National Stock Exchange (NSE) and BSE where it is listed.
Sebi observed that the receipts produced by the company showed the contact numbers of the stock exchanges.
Further, Sebi said that "no adverse comments have been received from the exchanges with respect to the evidential value of the documents presented by the noticee".
"Hence, in absence of any concrete evidence casting doubts on the evidence produced by the noticee that noticee has not made any disclosure to the exchanges during the investigation period I am left with no choice but to hold the document before me as proof of compliance of the noticee with the regulations," Sebi's Adjudicating Officer Barnali Mukherjee said in the order.
Sebi had conducted a probe in trading in the shares of Prakash Industries between January 1 and January 31, 2007.
The regulator found that Prakash Industries Managing Director Vikram Agarwal had bought or sold shares of the company.
In this regard Agarwal had made the necessary disclosures to the company.
The firm as per the norms was required to disclose the information by Vikram Agarwal to the stock exchanges (BSE and NSE) where it is listed.
However, when verified with the stock exchanges it was noted that no such disclosure was made by the firm and no such disclosures were available on BSE and NSE websites.