Sebi Launches Major Auction to Recover Illicit Investor Funds

Sebi is set to auction 23 properties from nine firms, including Tower Infotech and Vibgyor Group, in February to recover funds illicitly collected from investors. The auction, ordered by the Calcutta High Court, will feature assets in West Bengal, aiming to recoup approximately Rs 55 crore.

The Securities and Exchange Board of India (Sebi) announced an upcoming auction of 23 properties linked to nine firms, including Tower Infotech and Vibgyor Group, slated for February. This move aims to recover funds improperly secured from investors.

With the Calcutta High Court's directive, Sebi has initiated the process to liquidate these assets, which consist of plots, apartments, and buildings in West Bengal. The auction has a reserve price set at Rs 55 crore, as specified in a Sebi notice.

Justice Sailendra Prasad Talukdar has been appointed as the one-man committee overseeing the asset liquidation. Sebi has partnered with Adroit Technical Services for the sale process. The auction is scheduled for February 6, 2025, through an online platform, as the watchdog seeks to resolve encumbrances and regulatory breaches by these firms.

(With inputs from agencies.)