MUMBAI: The Securities and Exchange Board of India (Sebi) has withdrawn a show cause notice (SCN) issued to Zee Entertainment Enterprises Ltd (ZEEL) and promoters, Subhash Chandra and Punit Goenka. Allegations contained in the notice would now form part of findings of the market regulator’s ongoing probe against the two executives.As per Sebi’s new order, details of the SCN dated July 6, 2022, issued by the adjudicating officer to ZEEL promoters will be included in the SCN to be issued for the current matter.
The regulator has also rejected settlement applications dated September 2, 2022, filed by ZEEL and Punit Goenka. These applications were related to the SCN, which pertained to alleged siphoning of funds from ZEEL to other promoter entities.
The settlement applications submitted by the media and entertainment company and Goenka were rejected by Sebi during adjudication proceedings on April 18, 2023.
