Sebi Cracks Down on Kalahridhaan Trendz for Securities Disclosures Violations

The Securities and Exchange Board of India (Sebi) has barred Kalahridhaan Trendz Ltd (KTL) and its promoters from the securities markets for failing to disclose significant defaults and allegedly making false announcements. Sebi's examination revealed fabrications intended to mislead investors and influence the company's share prices.

The Securities and Exchange Board of India (Sebi) has taken stern action against Kalahridhaan Trendz Ltd (KTL) and its promoters, banning them from participating in the securities markets. Sebi alleges that the company flouted disclosure regulations and made deceitful announcements to mislead investors.

KTL was found to have concealed crucial information regarding its payment defaults to HDFC Bank. Further investigation revealed that the company issued false statements about corporate profitability and a fictitious large order, thereby artificially inflating its stock market activity.

The probes identified that these misleading disclosures were part of fraudulent practices, aiming to entice investors. Additionally, Sebi found key directors of KTL responsible and noted the firm's non-compliance with LODR rules, including failing to appoint a compliance officer.

(With inputs from agencies.)