Pyramid Saimira promoter’s accounts to be attached

Securities and Exchange Board of India (SEBI) has directed Allahabad Bank, HDFC and HSBC to attach the bank accounts of Pyramid Saimira’s promoter P. S. Saminathan to recover penalties worth Rs.1.27 crore imposed on him for various violations, exercising its newly granted powers for the first time. This is the first time that SEBI has ordered attachment of bank accounts of an entity which who violated securities market rules, after it was granted those powers by the government earlier this year.

It is further ordered with immediate effect that no debit would be made in these accounts until further orders from the market regulator, according to Sebi directives. However, the credits, if any into the account maybe allowed, SEBI said.