IRDA annuls Sage Insurance licence for hiding stock scam involvement
Mumbai, Feb 24 (UNI) The Insurance Regulations Development Authority (IRDA) has cancelled the licence of Sage Insurance Brokers, as one of its promoter Preeti N Aggarwala concealed facts about her involvement in the 1992 securities scam.
''Having regard to the nature and gravity of the charges established...the licence of Sage Insurance is hereby cancelled,'' IRDA member K K Srinivasan passed the order after a seven-month investigation.
Prior to the clamp down on the Delhi-based broking firm, IRDA had framed three charges, including non-disclosure and concealment of material facts about Aggarwala while making an application to obtain certificate of registration as a broker, an IRDA release said.
During the investigation, IRDA found that Department of Company Affairs (DCA) procecuted ICP Securities, of which Aggarwala was a promoter and she was charged in a special court for offences in share trading related to the stock market scam of 1992.
DCA had filed the complaint for criminal liability as ICP Securities had made false statement in the prospectus and raised Rs 1.26 crore from public by issue of shares and Aggarwala was signatory to the prospectus.
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