Groww AMC Settles with SEBI over AIF Rules Violations

Groww AMC, formerly Indiabulls Asset Management Company, and its former officials have recently settled a significant case with the Securities and Exchange Board of India (SEBI) concerning alleged violations of alternative investment fund rules. The resolution was reached after collectively paying a settlement amount of Rs 1.43 crore.

The settlement includes entities such as Indiabulls AIF, Indiabulls Dual Advantage Real Asset Fund (IBDARA), and Indiabulls Real Estate Fund (IBREF), along with individuals Ambar Maheshwari, Amit Jain, and Parth Muria. These entities were accused of misrepresenting financial information and breaching various financial regulations as far back as 2017.

This settlement follows SEBI's move in issuing show cause notices to the parties in September 2024, with allegations of irregularities such as asset pledging for loans, non-adherence to asset management regulations, and submission of inaccurate compliance reports. SEBI's acceptance of the settlement terms has brought these proceedings to a conclusion.