Kalyani Investment Settles with SEBI: A Deep Dive into Disclosure Norm Violation

Kalyani Investment Company, part of the Bharat Forge promoter group, has reached a settlement with SEBI over alleged disclosure norm violations by paying a settlement fee of Rs 1.12 crore. This case emerged from failure to adhere to related-party transaction disclosures. SEBI has closed the proceedings following the settlement.

The Kalyani Investment Company, a prominent entity within Bharat Forge's promoter group, has resolved its case with SEBI concerning claims of disclosure norm violations. The resolution involved the payment of a Rs 1.12 crore settlement fee.

Kalyani Investment Company Ltd (KICL), part of the Kalyani Group valued at over USD 2.5 billion, sought to settle the proceedings initiated by SEBI without admitting or denying the facts or legal conclusions. SEBI accepted the settlement, bringing the adjudication proceedings to a close, according to officer Amit Kapoor's order.

The case stemmed from allegations that KICL did not appropriately disclose related-party transactions with Kalyani Steels Ltd. Despite initially failing in approval and summary placement before the audit committee, KICL filed revised settlement terms that were approved by SEBI's advisory committee.

(With inputs from agencies.)