SAT reduces Sebi’s penalty on former Maars Software MD to Rs 10 lakh in GDR case

The Securities Appellate Tribunal (SAT) has slashed the penalty imposed on the former MD of Maars Software International to Rs 10 lakh from Rs 1 crore in a case related to manipulation in the issuance of global depository receipts. Maars Software International Ltd (MSIL) came out with a global depository receipts (GDRs) issue on August 10, 2007.

Pravin Champalal Jain was the former managing director of MSIL.

“While affirming the order of Sebi’s Adjudicating Officer (AO) for the violations committed by the company, we reduce the penalty from Rs 1 crore to Rs 10 lakhs.

“In our opinion, the penalty imposed is excessive and disproportionate to the violation and is also discriminatory,” the tribunal said in its ruling on Tuesday.