On Wednesday, capital markets regulator SEBI sent a notice to Future Enterprises asking it to pay more than Rs 5 lakh in a case over disclosure failures regarding Amazon’s initiation of arbitration proceedings against Future Group. .
The regulator also warned the company of the seizure of assets and bank accounts if it does not make payment within 15 days.
The notice came after the company failed to pay the fine imposed on it by the Securities and Exchange Board of India (SEBI).
In an order passed in March, the capital markets regulator fined Future Enterprises Rs 5 lakh for disclosure failures in the case related to the arbitration proceedings against Future Group by Amazon.com NV Investments Holdings LLC.
Future Enterprises failed to disclose to the exchanges information regarding the initiation of arbitration proceedings as well as the adoption of an order dated October 25, 2020 in favor of Amazon.
In its notice, SEBI ordered Future Enterprises to pay Rs 5.21 lakh, which includes penalties, interest and collection costs, within 15 days.
In the event of non-payment of the contributions, the market regulation authority will recover the amount by seizing and selling the movable and immovable property of the company. In addition, the company faces the seizure of its bank accounts.
The regulator can also take the route of arrest and detention in jail to recover the amount.