MUMBAI: The Securities and Alternate Board of India (Sebi) has summoned senior officers of Franklin Templeton Mutual Fund on account of redemptions made by them simply earlier than six debt schemes of the fund home have been frozen on 23 April, media studies mentioned based mostly on a forensic report into the schemes by Chokshi and Choksi.
Individually, the Enforcement Directorate (ED) has filed an Enforcement Case Info Report (ECIR) in opposition to Franklin Templeton Asset Administration based mostly on a First Info Report (FIR) filed by the Chennai Police in opposition to the fund home in September, studies mentioned.
Additionally Learn | Why Das ought to heed Buffett on bond yields
The ED is reportedly investigating varied elements of the case equivalent to redemptions by senior officers and why the fund home didn’t train put choices to be able to realise worth from its holdings earlier than the schemes have been frozen.
The investigations although could not have an effect on the distribution of proceeds and winding up of the six schemes which the Supreme Courtroom has positioned within the palms of SBI Funds Administration Pvt Ltd. The fund home has expressed confidence in with the ability to liquidate a big portion of the mentioned schemes inside a couple of weeks’ time as soon as the apex court docket approves a liquidation plan.
Unit holders obtained Rs9,122 crore in February, of the Rs26,000 crore odd corpus that was frozen in April final yr.