Friday, September 17, 2021
Farmers Debt Relief

77 shaheed soliders

516 sewa kendras

9300 cr Investment

helpline portal

jallianwala bagh

mrsptu

Markfed Sept to Nov

Innocent Admission

No new debt scheme till SAT disposes appeal, Franklin Templeton to SC

- Advertisement -

New Delhi, July 26, 2021- The Supreme Court on Monday recorded that Franklin Templeton Asset Management India Pvt Ltd will not launch any new debt scheme till the disposal of its pending appeal before Securities Appellate Tribunal (SAT).

In June this year, the SEBI had directed Franklin Templeton to refund investment management and advisory fees to the tune of Rs 512 crore, including interest, collected with respect to its six debt schemes which were shut down last year. The SAT had, however, found the SEBI’s penalty on Franklin Templeton as “excessive”, for not accounting the expenses borne by the fund house on managing the six wound-up schemes and directed it to deposit Rs 250 crore in an escrow account till the case is heard and disposed.

On Monday, a bench comprising Justices Abdul Nazeer and Krishna Murari took on record a submission made by the fund house that it would not launch any new debt scheme till the pendency of the appeal before SAT.

The bench, however, refused to interfere in the other part of the order, which directed the Franklin Templeton to pay Rs 250 crore against demand of Rs 512 crore, and granted four weeks to the petitioner to file their reply before the tribunal.

“We request the tribunal to dispose of the main matter as expeditiously as possible,” it said.

As Solicitor General Tushar Mehta, representing the SEBI, submitted that Rs 512 crore was calculated based upon the statutory dues, the bench asked Franklin Templeton’s counsel as to how Rs 512 crore was reduced to Rs 250 crore, by the interim order of SAT. The counsel replied it is going to be heard and the company is not going anywhere.

The bench told Mehta, who had objected to the SAT reducing the amount to half, that it is a first appeal and normally in a money decree, the normal thing is to pay 50 per cent.

It told Franklin Templeton’s counsel that he knows what had happened to their 6 schemes. “We are still struggling with those schemes,” it noted.

As the counsel replied: “Between today and 31st, no scheme will be launched”, the bench responded: “Can we record that? Because we are not worried about Rs 250 or 500 crore. Public can’t be cheated and public should not be cheated.”

Senior counsel A.M. Singhvi and Harish Salve agreed that their statement can be recorded that no new scheme will be launched until disposal of appeal. Recently, the top court held that consent of majority unitholders was necessary for winding up of debt schemes after the publication of notices.

The market regulator had also barred Franklin Templeton from launching any new debt schemes for a period of two years. However, the SAT had set aside this order. SEBI moved the top court challenging SAT’s directions.  (Agency)

Subscribe to YesPunjab Telegram Channel & receive important news updates

- Advertisement -

Yes Punjab - TOP STORIES

Punjab News

Sikh News

Transfers, Postings, Promotions

- Advertisement -spot_img

Stay Connected

20,369FansLike
112,265FollowersFollow

ENTERTAINMENT

National

GLOBAL

OPINION

Rahul Gandhi Congress Neon

RaGa’s Kashmiri Pandit solidarity may be an assertion for electoral gain – By Deepika Bhan

Thirty-one years after the exodus of Kashmiri Pandits from Kashmir, the Nehru-Gandhi family has for the first time unambiguously spoken up for the community....
Faiz Hameed ISI

Kingmaker of Afghanistan, Pak spy chief Faiz Hameed could be next army chief – by Mrityunjoy Kumar Jha

His Masters Voice (HMV) -- that is how the Chief of Pakistan's spy agency, Inter-Services Intelligence (ISI) is known in his country. Hameed is...
Lebanon

Existential crisis in Lebanon – by Asad Mirza

While the world it seems has been too occupied with the developments in Afghanistan, another tragedy in the making is currently on in Lebanon...

SPORTS

Health & Fitness

Lymphoma

Early diagnosis key to cure lymphoma: Doctors

New Delhi, Sep 15, 2021- Proper and timely diagnosis of lymphoma is key and may also cure the disease for life, said doctors on Wednesday. September 15 is observed every year as World Lymphoma Awareness Day. The Mayo Clinic defines lymphoma as a cancer of the lymphatic system -- part of the body's germ-fighting network. The lymphatic system includes the lymph...

Gadgets & Tech

error: Content is protected !!