On August 12, SEBI will auction 19 properties owned by seven companies.

NEW DELHI: The Securities and Exchange Board of India (SEBI) has announced an auction of 19 properties belonging to seven companies, including Mangalam Agro Products, Sun Plant Business Ltd, and Sumangal Industries, scheduled for August 12. This action is part of SEBI’s efforts to recover funds unlawfully raised from investors by these firms.

Other companies whose properties will be auctioned include Sunheaven Agro India, Ravi Kiran Realty India Ltd, Jivan Sathi Dream Projects, and Purusattam Infotech Industries. The properties, comprising land with building structures, flats, land parcels, and land with structures, are situated in West Bengal and Odisha.

As per a SEBI notice dated July 10, the reserve price for these properties is set at Rs 20.74 crore. The online auction will be held on August 12, from 11 am to 1 pm.

SEBI has invited bids for the sale of these properties as part of recovery proceedings against the listed companies and their promoters/directors. Adroit Technical Services has been appointed to assist SEBI with the auction.

Bidders are advised to conduct their independent investigations regarding any encumbrances, litigations, attachments, titles, claims, rights, dues, etc., related to the properties before submitting their bids.

Of the 19 properties to be auctioned, seven are linked to Mangalam Agro Products, four to Sun Plant Business Ltd, three to Sumangal Industries, and two to Jivan Sathi Dream Projects. Additionally, one property each belongs to Sunheaven Agro India, Ravikiran Realty India, and Purusattam Infotech Industries.

These companies had raised funds from investors without complying with market regulations. According to earlier SEBI orders, Sunheaven Agro India allotted Redeemable Preference Shares (RPS) to about 7,772 investors, raising Rs 11.54 crore between 2009-10 and 2012-13.

Ravi Kiran Realty India raised funds by issuing RPS to 1,176 individuals. Mangalam Agro collected Rs 11 crore from the illegal issuance of secured non-convertible debentures (NCDs) to approximately 4,820 investors during 2011-2012, while Sun Plant Business collected Rs 4.17 crore from 2005 to 2008. Sumangal raised Rs 85 crore from investors through illegal collective investment schemes (CIS).