ZEEL and Punit Goenka seek SAT relief over SEBI ban
Zee Entertainment (ZEEL) and its CEO, Punit Goenka, are fighting a two-month ban from trading in the securities market, handed down by India's market regulator SEBI on July 31.
The order also restricts ZEEL for two months and Goenka and promoter Subhash Chandra for one year.
ZEEL quickly asked for relief, so now the Securities Appellate Tribunal will hear their case on Wednesday.
SEBI alleges 726CR pledge by ZEEL
SEBI says ZEEL used its Hyderabad property as loan collateral, raising ₹726 crore for Essel Group companies, without getting approval from ZEEL's Audit Committee, board, or shareholders.
The regulator also flagged poor disclosure of the pledge, the related-party transaction, contingent liability, and other developments linked to the property.
ZEEL was fined ₹30 lakh, to be paid within 45 days.
ZEEL shareholders approve plan at EGM
Right after the ban, ZEEL's shareholders approved the company's proposed plan at an extraordinary general meeting, a move seen as an effort to boost governance and address SEBI's concerns.