Sebi to auction properties of three firms on May 30 to recover investors' money

Sebi to auction properties of three firms on May 30 to recover investors’ money

NEW DELHI: Markets regulator Sebi on Thursday said it will auction properties of three firms — Infinity
Realcon, Bishal Group of companies and Sumangal Industries — next month to recover money illegally
raised from investors.
A total of 26 properties of three companies will be auctioned at a reserve price of over Rs 21 crore,
according to a public notice issued by the Securities and Exchange Board of India (Sebi).
Of the 26 properties, 13 relate to Infinity Realcon, 10 belong to the Bishal Group of companies (Bishal
Abasan India Ltd, Bishal Distillers Ld, Bishal Agri-Bio Industries Ltd, Bishal Horticulture and Animal Projects Ltd) and three of Sumangal Industries.

These properties include land parcels, single-storied buildings, a residential building and a flat located in
West Bengal.
Inviting bids for the sale of properties in the recovery proceedings against the three companies and their
promoters and directors, Sebi said the auction will be conducted online on May 30 — from 1030 hours to
1230 hours.
Adroit Technical Services has been appointed as the e-auction service provider.
The regulator has asked the bidders to make their own independent inquiries regarding the encumbrances,
title of properties put on auction and claims, among others, before submitting their bids

Infinity Realcon issued redeemable preference issues (RPS) to nearly 25,000 investors and mobilised over
Rs 19 crore from 2009-10 to 2012-13. Besides, the amount mopped up through the issue of debentures
was Rs 1 crore.
The four Bishal Group of companies had mobilised funds by issuing RPS to more than 49 persons without
complying with the public issue norms.
While Bishal Distillers had raised funds to the tune of Rs 4 crore, Bishal Agri-Bio Industries and Bishal
Horticulture and Animal Projects had mobilised Rs 3 crore and Rs 2.84 crore, respectively.
The funds were mobilised by the firms during 2006-2014.

Also, Bishal Abasan India raised Rs 2.75 crore by allotting RPS in 2011-12, apart from mopping up Rs 89
crore through the issuance of non-convertible debentures (NCDs) during 2012-14.
Sumangal Industries collected Rs 85 crore from investors through illegal collective investment schemes
(CIS). The firm was running illegal ‘potato purchase’ investment schemes promising up to 100 per cent
gain in just 15 months to investors.