Thursday, 5 February 2015

Sebi bars Agri Gold Farm from raising funds from public

Continuing its crackdown on illicit realty investment activities, Sebi on Thursday barred Andhra Pradesh-based Agri Gold Farm Estates India from raising fresh capital from the public with immediate effect.
Besides, it directed the company not to launch any new scheme.
The Securities and Exchange Board of India (Sebi) found that Agri Gold Farm Estates India Pvt Ltd (AGFEIPL) was running 'collective investment schemes (CIS)' without obtaining registration from the regulator.
The company was inviting investments from the general public through its various schemes for the purchase and development of land.
"I find that the schemes operated by AGFEIPL...Are in the nature of a CIS," Sebi Whole Time Member S Raman said in an interim order.
Accordingly, Sebi directed AGFEIPL and its directors --Venkata Rama Rao Avva, Avva Venkata Seshu Narayana Rao, Avva Hema Sundara Vara Prasad, Savadam Srinivas, Moganti Bhanuji Rao and Emmadi Sada Siva Vara Prasad Rao--"not to collect any fresh money from investors under its existing schemes".
It has also asked them "not to launch any new schemes or plans or float any new companies to raise fresh money."
Additionally, the company and its directors have been directed not to dispose any assets obtained from funds collected, while the entities also cannot divert money raised from the public.
Further, the entities have been asked to "immediately submit the full inventory of the assets including land obtained through money raised by " as well as furnish withing 15 days details related to the scheme.
These directions shall take effect "immediately and shall be in force until further orders in this regard." 
SEBI would have banned Agrigold when Corporate Frauds Watch sent letters to SEBI more than half a decade back against the illegal schemes of Agrigold to avoid the accumulation of over Rs. 6,000 crore (Sixty billion) in its coffers. Now the company enjoys the money without repaying its depositors on the pretext that SEBI banned the liquidation of its assets. 

Tuesday, 3 February 2015

Food Safety and Standards of India directs Amway to withdraw six products from market

* Nutrilite cal-mag-D, Nutrilite natural B tablets, Nutrilite Iron Folic tablets, Nutrilite Bio C, Positrim Vanilla and Nutrilite Kids Drink Mixed Fruit flavour are the products directed to withdraw from the market. 
* These products contain more than permission quantities of minerals and vitamins which are not safe as per the ICMR and NIN.
* Mohammad Shahid Sharif, president of Anti-Adulteration Consumer Society lodged the complaint.

NAGPUR: Following directives from the Food Safety and Standards of India (FSSAI) the state Food and Drug Administration (FDA) has warned the M/s Amway Enterprises Pvt Ltd to withdraw six of its products from the market in the state. These products were found to contain more than the permissible quantities of minerals and vitamins as per the Indian Council of Medical Research (ICMR) and National Institute for Nutrition (NIN).
In Nagpur, Amway has a warehouse in Wadi and a showroom in Eternity mall. "After we received a directive from Uday Wanjari from our headquarters FDA (Food) we issued a letter to the company here on January 30 to withdraw the six products within seven days, by February 6," said joint commissioner FDA (Food) in city S Desai speaking to TOI.
The FSSAI's 'product approval' committee had rejected these six products which include Nutrilite cal-mag-D, Nutrilite natural B tablets, Nutrilite Iron Folic tablets, Nutrilite Bio C, Positrim Vanilla and Nutrilite Kids Drink Mixed Fruit flavour as per a letter written by Sandhya Kabra, dated December 31, 2014 who is director of the approval committee. Amway had asked for approval from FSSAI as per a letter dated June 21, 2012. In reply to this letter Kabra's predecessor Pradip Chakraborty had written to Vinay Kumar of Amway at Delhi on May 23, 2013.
But apparently, despite many reminders, the company did not withdraw the products and therefore FSSAI has now asked for action against the company across the country. On Monday Mohd Shahid Sharif, president of Anti-Adulteration Consumer Society in the city raised the issue with the collector office on 'lokshai din' when common people's complaint are heard. "I produced a bill of some of these products from the Eternity mall outlet named M/s Micropark Infortrade of Rs1,164.00 dated November 6, 2014. I have raised the query how it was being sold in city under eyes of local FDA," he said.
Assistant commissioner of FDA (Food) NR Wakode, who too was present when Sharif said no one would be spared. But the administration will take action only after the warning period till February 6 is over. In Mumbai, however, the order for withdrawal was issued on January 28 while it reached Nagpur FDA on January 30. "We inspected both the Wadi and Eternity mall outlets and issued warnings in writing," said Wakode.