SEBI v. Nu Pharmalogics Private Limited (Secunderabad Healthcare warrants, dismissed on remand, 2022)

Dismissed

✓ Checked against the primary document on October 9, 2026. The library's summary, tags and figures for this record were compared with the regulator's own document by an AI model (Claude) following written instructions, in a single reading of the order; an independent second reading of 60 SEBI records agreed on every field for 56, the four misses being penalty amounts; a later sample of 50 of the SEBI records added on 9 October agreed on every field for 46. No lawyer has reviewed them. A checked record can still contain errors, and checked does not mean endorsed. See how we check records or report a correction.

Report an error in this record (sebi-63627-market-abuse-2022) by email

In October 2022, after the Securities Appellate Tribunal sent the case back, a SEBI whole time member accepted that Nu Pharmalogics had paid full consideration for its Secunderabad Healthcare warrants and disposed of the fraud show cause notice against it without any direction. SEBI's earlier order had restrained it for two years.

The record

What was ordered

Civil penalty

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Disgorgement

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Prejudgment interest

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Total relief

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Alleged gain

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A dash means the release did not state a figure we could extract, not that the figure is zero. Penalty and disgorgement are stored separately so aggregates across the library do not double-count the same dollars.

What is alleged to have happened

A SEBI whole time member decided this matter on 3 October 2022. It is a single-noticee companion to the order of 23 September 2022 that cleared six other allottees of Secunderabad Healthcare Limited warrants. The noticee is Nu Pharmalogics Private Limited, one of the 27 non-promoter entities allotted preferential warrants in October 2010.

SEBI's show cause notice of July 2019 alleged that allottees obtained equity shares on converting warrants without paying the full price, to their own benefit and the loss of other shareholders, in breach of section 12A of the SEBI Act, PFUTP Regulations 3 and 4(1) and ICDR Regulations 77(1) and 77(3). SEBI's original order of April 2021 restrained this noticee from the securities market for two years and directed it to pay the balance. The Securities Appellate Tribunal allowed its appeal in October 2021 and remitted the matter for reconsideration.

On remand the noticee relied on the company's annual report for 2010-11, in which the auditors recorded receipt of the full consideration for the issue and conversion of the warrants, and on a BSE disclosure of April 2012 that shares were issued on receipt of the balance 75 per cent of the price. The member found that it had rebutted the allegations by showing full consideration had been paid, and disposed of the show cause notice without any direction.

No penalty or restraint remains. The record does not show whether SEBI appealed this order or how the remaining allottees and the company fared in the remand. No library technique fits the allegation, so the technique list is empty.

This library tags the matter as alleged under-payment for preferentially allotted warrants, with no more specific library technique. The tagging is ours, not the regulator's.

For the regulator's own account of the facts, read the primary document linked above. This page deliberately summarises the structured record rather than reproducing the order.

Timeline

1. 2022-10-03 SEBI order on remand disposing of the show cause notice

Primary documents

Everything on this page derives from the documents below. Where our summary and the primary document disagree, the primary document is right.

• SEBI order
• SEBI order (PDF)

The linked release is published by the issuing regulator under its own terms. Our summary and narrative above are our own writing.

Record added October 8, 2026. submit a correction.