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Sebi refuses stay on forensic audit of Jai Mata Glass

Sebi refuses stay on forensic audit of Jai Mata Glass

New Delhi, Nov 14 (PTI) Markets regulator Sebi Wednesday refused to grant a stay on forensic audit of Jai Mata Glass Ltd, which figures in the list of suspected shell companies.Sebi, in an interim order passed in September 2017, had directed the stock exchange to appoint an independent forensic auditor to verify financial of Jai Mata Glass Ltd (JMGL) and to trace the end-use of proceeds of sale of land by the firm.In a 22-page order passed on Wednesday, the regulator said, "JMGL, at this juncture, has failed to submit sufficient third party documentary evidence in support of its claims with respect to many of the charges/allegations/prima facie findings." Accordingly, the Securities and Exchange Board of india (Sebi) said it "confirms the directions contained in the interim order dated September 26, 2017 and the audit shall continue".Jai Mata Glass is among the firms against whom Sebi initiated action in August, 2017 by ordering trading restrictions after it received the list of 331 suspected shell companies from the government.Consequently, JMGL had moved Securities Appellate Tribunal (SAT) against the trading restrictions following which Sebi, had lifted the trading curbs imposed on the company. PTI SP MRMR