Sebi drops proceedings against IL&FS Financial Services related to alleged violation of underwriter norms
Markets regulator Sebi on Friday disposed of proceedings against IL&FS Financial Services Ltd without issuing any direction against it in a matter pertaining to alleged violation of underwriter norms. The firm is a Sebi registered underwriter. The order came after Ministry of Corporate Affairs (MCA) forwarded a report to Sebi to ascertain if the underwriter, which is a 100 per cent subsidiary of Infrastructure Leasing & Financial Services Ltd (IL&FS), was qualified to be a “fit and proper person” to continue as a Sebi registered intermediary. Serious Fraud Investigation Office (SFIO) had conducted an investigation into the affairs of Infrastructure Leasing & Financial Services Ltd (IL&FS) and its subsidiary companies responsible for the credit crisis.