SEBI Slaps Penalties on Jaiprakash Power Ventures for Misrepresentation

The Securities and Exchange Board of India (SEBI) has fined Jaiprakash Power Ventures and its executives a total of Rs 54 lakh for inaccurate financial reporting. The penalties follow an investigation revealing non-compliance with PFUTP and LODR rules, including overstated accounts and misrepresented investments.

The Securities and Exchange Board of India (SEBI) has imposed a cumulative penalty of Rs 54 lakh on Jaiprakash Power Ventures and its top executives, including MD and CEO Suren Jain, for misrepresenting the company's financial statements.

Others penalized include company chairperson Manoj Gaur, executive directors Sunil Kumar Sharma and Praveen Kumar Singh, chief financial officer R K Porwal, and former member M K V Rama Rao. SEBI has mandated payment within 45 days.

The investigation found Jaiprakash Power Ventures violated PFUTP and LODR regulations by overstating accounts, failing to account for interest, and not valuing investments accurately from FY 2012-13 to FY 2021-22. This led to distorted financial reports, prompting penalties of Rs 14 lakh on the company and Rs 7 lakh each on top executives and Rs 6 lakh on others involved.

(With inputs from agencies.)