BEFORETHESECURITIESAPPELLATETRIBUNAL

MUMBAI
AppealNo.233of2014

Dateofdecision:15/12/2014
1.

2.
3.
4.
5.

RoseValleyRealEstatesand
ConstructionLimited
GoutamKundu
ShibamoyDutta
AbirKundu
RamLalGoswami

Addressat:
GodrejWaterSite,
TowerNo.1,2ndFloor,
OfficeNo.201&202,PlotNo.5,
BlockDP,Sector5,SaltLakeCity,
Kolkata700091.

Versus

SecuritiesandExchangeBoardofIndia
SEBIBhavan,PlotNo.C4A,GBlock,
BandraKurlaComplex,
Bandra(E),Mumbai400051.

Appellants

Respondent

Mr. Sudipto Sarkar, Senior Advocate with Ms. Moushmi Bhattacharya,

Mr. Arup Bhattacharya, Ms. Ravela Dsouza and Mr. Ajay Hailkar, Advocates
i/b Bachubhai Munim & Co. for Appellants.
Mr. Kevic Setalvad, Senior Advocate with Mr. Rushin Kapadia, Advocate i/b
K. Ashar & Co. for the Respondent.

CORAM: JusticeJ.P.Devadhar,PresidingOfficer

A.S.Lamba,Member

Per:JusticeJ.P.Devadhar(Oral)

1.
This Appeal is filed to challenge the order passed by Whole Time
MemberofSecuritiesandExchangeBoardofIndia(SEBI)on18thJune,2014
whereby Appellants are directed to wind up its Collective Investment
Scheme and refund moneys collected by it under the scheme with returns
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whichareduetoinvestorsasperthetermsofofferwithinaperiodofthree

-2-

monthsfromthedateofthesaidorder.CounselfortheAppellantfairlystates
thattheAppellantsarereadyandwillingtocomplywiththeorderpassedby
the Whole Time Member. However, in view of SEBI restraining the
Appellants from dealing with their properties in its exparte order,
Appellantsarenotinapositiontocomplywiththeorder.CounselforSEBI
states that once final order is passed,exparteadinterimordergetsmerged
intothefinalorderand,therefore,forthepurposeofimplementingthefinal
orderof18thJune,2014,Appellantswouldbeentitledtoselltheirproperties
andutilizethesaleproceedsonlyformakingpaymenttotheinvestorsofthe
AppellantNo.1.Accordingly,wepermittheAppellantstoselltheproperties
belongingtothemunderthesupervisionofSEBIbyexpresslymakingitclear
thatthesaleproceedsreceivedonsaleofthepropertiesshallbeutilizedonly
for the purpose of making payment to investors of Appellant No.1.
Appellants are directed to dispose of the properties belonging to them as
expeditiouslyaspossibleandinanyeventwithinaperiodofsixmonthsfrom
today. Subject to the Appellants complying with the impugned order dated
18thJune,2014withinaperiodofsixmonthsfromtoday,SEBIshallnottake
anyfurtherproceedingsagainstAppellants.

2.

Appealisdisposedofinabovetermswithnoorderastocosts.

Sd/
JusticeJ.P.Devadhar

PresidingOfficer

15/12/2014
Prepared&comparedbyddg

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Sd/
A.S.Lamba
Member