Bijoy Hans Ltd’s Compliance Clock Strikes Late: SEBI Warning Marks Wake-Up Call

Image Source: ET Now

In a recent development, Bijoy Hans Limited (BHL) was issued an administrative warning by the Securities and Exchange Board of India (SEBI) for non-payment of regulatory fees within a timely manner in connection with its open offer. The warning is for the purpose of emphasizing the sheer importance of compliance with procedural timelines in securities transactions for the purposes of ensuring fairiness and transparency in the market.

Key Highlights:

The issue arose since Bijoy Hans Ltd had filed its Draft Letter of Offer with SEBI on 3 January 2025 in accordance with its open offer under the SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011 (SAST Regulations).
Despite early submission, BHL paid the mandatory non-returnable fees 28 days late, paying the fee on January 31, 2025.
Regulation 16(1) of the SAST Regulations mandates the acquirers to provide the draft offer letter and associated fees in good time via their managing intermediaries.
SEBI considered this non-compliance a serious procedural lapse, underlining the critical significance of adhering to regulatory timeframes.
The warning letter requested Bijoy Hans Ltd to be more cautious in future transactions so that such defaults do not happen.
SEBI also warned that any recurrence of the same non-compliance would attract more stringent enforcement measures, including penalties under the SEBI Act, 1992.

This warning is an indication of SEBI's vigilant regulatory discipline in protecting investors' interests and maintaining orderly market conduct. Market players are reminded to strictly follow stipulated time periods to uphold market integrity.

Bijoy Hans Ltd has responded and assured remedial measures to prevent such delays in its subsequent reports.

Source: Company disclosure to Stock Exchange