Sebi to auction assets of Royal Twinkle Star Club, Citrus Check Inns next month

Markets regulator Sebi will auction assets of Royal Twinkle Star Club Ltd and Citrus Check Inns Ltd next month in order to recover funds worth thousands of crores of rupees raised by the entity in the garb of sham 'timeshare' holiday plans. The move comes following the directions of the Supreme Court, the Securities and Exchange Board of India (Sebi) said in a notice on Thursday.

The assets to go under the hammer include office premise, land parcels and hotel buildings along with hypothecated furniture, fixtures, interior works, plants and machineries, and kitchen equipment installed. The properties at Lower Parel, Lonavala and Bengaluru will be auctioned on November 26 at a total reserve price of over Rs 117 crore, the regulator noted.

Earlier in December 2018, Sebi imposed a penalty of Rs 50 lakh on Citrus Check Inns and its directors for non-compliance of its order, wherein it had barred them from raising funds from the public. Sebi had received several investors' complaints against Citrus alleging that directors of Royal Twinkle Star Club are now running their CIS through Citrus.

In August 2015, the regulator imposed a four-year ban on Royal Twinkle Star Club and its four directors for illegally raising over Rs 2,656 crore in the garb of sham 'timeshare' holiday plans. Besides, it directed the company and its officials to refund the money along with promised returns to the investors in three months.

(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)