Sebi moves SC seeking directive for DLF ban

The Securities and Exchange Board of India (Sebi) on Friday approached the Supreme Court seeking its direction for a three-year market ban on real estate major DLF and its six top officials, including chairman KP Singh and his children.

Agreeing to hear Sebi’s plea, a Bench of Justices J Chelameswar and RK Agrawal issued notice to DLF and its promoters. The market regulator had approached the court challenging a Securities Appellate Tribunal (SAT) order which had quashed its order to bar the realty giant and its promoters from the market.

In its order on October 10 last year, Sebi had barred DLF and six others from the capital markets for three years, alleging “active and deliberate suppression of material facts” during its over Rs 9,000 crore IPO in 2007.However, SAT quashed the Sebi order by a majority verdict.

DLF had already undergone five months of debarment before the tribunal  quashed the Sebi order on March 13 this year.