Northward Financial Planners, partners settle case with Sebi

A total amount of Rs 21,67,500 has been paid by Northward Financial Planners (NFP) and its partners -- Thejus Palathingal, Diya Thommy and Vidya Krishnamoorthy, Sebi said in an order on Thursday. It was alleged that NFP was carrying out investment advisory activities since financial year 2013-14, prior to it filing application with Sebi for grant of registration as investment adviser.

Northward Financial Planners and its three partners have settled with Sebi a case related to alleged violation of Investment Advisers (IA) norms by paying over Rs 21 lakh towards settlement charges. A total amount of Rs 21,67,500 has been paid by Northward Financial Planners (NFP) and its partners -- Thejus Palathingal, Diya Thommy and Vidya Krishnamoorthy, Sebi said in an order on Thursday.

It was alleged that NFP was carrying out investment advisory activities since financial year 2013-14, prior to it filing application with Sebi for grant of registration as investment adviser. NFP generated a total revenue of Rs 15.47 lakh from 2013 till July 2017 by rendering investment advisory services to 73 clients.

NFP and partners filed application for registration as investment advisor after a delay of over four years and continued to carry out investment advisory activity without seeking registration, thereby violating the provisions of IA Regulations, the regulator said in the settlement order. Thereafter, the regulator received an application for settlement from NFP and its partners (applicants).

The applicants were called for a meeting with the internal committee (IC) of Sebi. Pursuant to the IC meeting, the applicants submitted revised settlement terms and the matter was placed before Sebi's High Powered Advisory Committee and the same was approved by a panel of the whole time members of Sebi.

Accordingly, they paid the settlement amount, following which the Securities and Exchange Board of India (Sebi) disposed of the case..

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