Punit Goenka, a promoter of Zee Entertainment Enterprises, on Friday moved the Securities and Appellate Tribunal (SAT) to seek relief against an order by the Securities and Exchange Board of India (Sebi) that bars him from taking any key position in Zee group entities until further orders.
Goenka and his father, Subhash Chandra, were barred from holding a directorship or key managerial positions in Zee Entertainment, Zee Media Corporation, Zee Studios, Zee Akaash News and any other company formed by a merger or demerger of these entities, according to an order issued by Sebi Chairperson Madhabi Puri Buch on August 14.
In the order, the market regulator said that it will within eight months complete an investigation of an alleged fund diversion matter involving Zee. Goenka has sought a stay on Sebi’s order and directions. SAT is likely to take up the matter on August 30. Zee promoters had earlier approached SAT against an interim order issued by Sebi in June in the same matter. SAT had then directed Sebi to provide a hearing to the father and son.
Sebi provided hearing to the duo and issued a confirmatory order within the stipulated time. The matter pertains to a letter of comfort granted for Rs 200 crore by Chandra, chairman emeritus of Essel group, for appropriation of a fixed deposit held with YES Bank.
The National Company Law Tribunal (NCLT) on August 10 cleared the merger between Zee and Sony Pictures. Goenka was expected to act as the managing director and chief executive officer of the merged Zee-Sony entity.