SEBI to auction 23 properties of Utkarsha Plotters to recover investors' wealth

Market regulator Securities and Exchange Board of India (SEBI) plans to auction 23 properties linked to Utkarsha Plotters and Multi Agro Solutions India Ltd on July 29 this year in order to recoup money that was fraudulently obtained by the business.

SEBI stated in a notification that the assets comprise residential spaces, plots, and agricultural land parcels located throughout Maharashtra. A reserve price of Rs 4.6 crore has been set for the auction of the 23 properties.

According to SEBI, the company launched a Collective Investment Scheme (CIS) to raise money from the public without first registering with the regulatory body. Under the guise of buying, selling, or developing the land plot, it carried out CIS.

In September and November of 2018, SEBI ordered the seizure of 26 properties owned by Utkarsha Plotters, Multi Agro Solutions India, and its directors in order to recoup over Rs 38 crore in public funds from their bank and Demat accounts. The regulator had previously forcibly prohibited the Maharashtra-based company from soliciting public funding in the month of January 2015. Additionally, the regulatory body also instructed the company not to introduce any new schemes by the market watchdog.

The sale of assets under the recovery actions against the companies and their directors, Dipali Mitharam Gurav, Mitharam Chhagan Gurav, and Pravin Chhagan Gurav, is now out for bids, according to a statement from SEBI. The auction will be held online on July 29 from 10.30 am to 5.30 pm. The regulator has selected Adroit Technical Services as the e-auction service provider.

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