Regulation 27A - Directions by the Board - Securities and Exchange Board of India (Issue and Listing of Municipal Debt Securities) Regulations, 2015

1 [CHAPTER VIIA PROCEDURE IN CASE OF VIOLATION OF REGULATIONS Directions by the Board 27A. Without prejudice to the action under section 11, 11A, 11 B, 11D, sub- section (3) of section 12, Chapter VIA and section 24 of the Act or section 439 of the Companies Act, 2013, the Board may suo- motu or upon receipt of information or on completion or pendency of inspection or investigation, in the interests of the securities market, issue or pass such directions as it deems fit including any or all of the following: (a) direct the issuer to refund the application monies to the applicants in a public issue; (b) direct the persons concerned not to further deal in securities in any particular manner; (c) direct the persons concerned not to access the securities market for a specified period; (d) restrain the issuer or its promoters or directors from making further issues of securities; (e) direct the person concerned to sell or divest the securities; (f) direct the issuer or the depository not to give effect transfer or directing further freeze of transfer of securities; (g) any other direction which Board may deem fit and proper in the circumstances of the case: Provided that the Board shall, either before or after issuing such directions, give an opportunity of being heard to the persons against whom the directions are issued or proposed to be issued: Provided further that if any ex-parte direction is required to be urgent issued, the Board may give post decisional hearing to the affected person: Provided also that where the issuer is a Municipality, the Board may communicate the instances of violation or non-compliance etc. if any, to the Central Government and the concerned State Government. ] ************ NOTES:- 1. Inserted vide NOTIFICATION No. SEBI/LAD-NRO/GN/2019/40 dated 27-09-2019