SEBI Confirms Barrage on SecUR Credentials and MD Rahul Belwalkar Amid Fund Diversion Allegations

Markets regulator SEBI includes Rahul Belwalkar and SecUR Credentials in bar from securities markets over fund diversion allegations. SEBI confirmed this decision following insufficient compliance from the accused, and observed violations of fraud and disclosure norms by the company, including unapproved transactions and fund transfers to Varanium Cloud MD.

On Monday, markets regulator SEBI announced that SecUR Credentials and its Managing Director Rahul Belwalkar would remain restricted from the securities markets in relation to alleged fund diversion activities.

SecUR Credentials, a BSE and NSE-listed entity, transferred from the SME platform to the mainboard in October 2022. In June, SEBI had initially barred SecUR Credentials and Belwalkar from the markets as a precautionary measure.

The regulator noted that the accused were provided ample opportunities to present their case but failed to do so. After confirming that no grounds existed to dismiss the interim order, SEBI has upheld its June 13, 2024, directives. The investigation, covering April 2020 to March 2024, revealed violations on multiple fronts including fund diversions and non-compliance with disclosure norms, implicating transactions with SecUR's MD, and fund transfers to Varanium Cloud MD.

(With inputs from agencies.)