SEBI gets eight counter bids for PACL group properties

PTI New Delhi | Updated on June 26, 2018 Published on June 26, 2018

Markets regulator SEBI today said it has received proposals from eight interested entities, that can offer higher price for the properties belonging to PACL group, than that proposed by the company.

The regulator had invited counter proposals from interested entities last month. The entities were required to submit such proposal till June 21, to R M Lodha committee, in response to the proposal submitted by PACL.

The move was a part of efforts made by SEBI to recover funds totalling ₹ 60,000 crore from the group.

“The committee has received eight counter proposals by the end of business hours on June 21, 2018,” Securities and Exchange Board of India (SEBI) said in a statement.

PACL also known as Pearl Group, which had raised money from the public in the name of agriculture and real estate businesses, was found by SEBI to have collected these funds through illegal collective investment schemes over 18 years.

The panel, headed by former Chief Justice of India Lodha, is overseeing the process of disposing of properties to refund investors after verifying their genuineness. SEBI had set up the high-level committee following a Supreme Court order.

“Any person(s) /entity/entities desirous of offering a price higher than the value of the proposal submitted by PACL in respect of the properties ....may do so way of a counter proposal signed by the authorised representative specifying therein the total value of such proposal placed in a sealed cover... by June 21, 2018,” SEBI had said while inviting counter bids.

In April, PACL had submitted a proposal to the committee to recover more than ₹ 15,000 crore in two years.

As per the proposal, the company offered to bring in buyers to purchase its assets for a total consideration of at least ₹ 15,000 crore.

Of this, the firm suggested to bring in ₹ 7,500 crore in the first year and the same amount in the second year through either sale of its assets to buyers or through facilitating collaboration with government entities to develop its properties.

These counter proposals are from Maharashtra-based entities Grovalue Marketing, Guardforce Ltd and City Wines.

Besides, the proposals came from Tamil Nadu -based Vijaylakshmi Marketing, Lakshmi Murugan Developers and Bava Fules, and also from Delhi’s P K Overseas (P) Ltd and Rohatas Dalal.

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Published on June 26, 2018
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