Authority: Adjudicating Officer, Securities and Exchange Board of India

Order Date: August 07, 2026

Case Overview

Securities and Exchange Board of India (SEBI) initiated adjudication proceedings against twenty entities comprising the promoter and promoter group of Ultracab (India) Ltd for alleged violations of SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011 (SAST Regulations).

The examination period covered quarters ended September 2023 and December 2023. SEBI found that the promoter group collectively offloaded approximately 30% of their shareholding during this period, with aggregate changes of 2.44% in Q3 2023 and 31.80% in Q4 2023. These changes triggered mandatory disclosure requirements under Regulation 29(2) read with Regulation 29(3) of SAST Regulations, which require filing within two working days when aggregate shareholding changes exceed 2%.

The investigation revealed 12 instances where disclosures should have been made but were not found on exchange websites. The promoter group entities are deemed Persons Acting in Concert (PACs) under Regulation 2(1)(q) of SAST Regulations, making them collectively responsible for disclosure obligations.

Final Outcome

The Adjudicating Officer found 16 noticees (Noticee Nos. 1-15 and 20) guilty of violating Regulation 29(2) read with Regulation 29(3) of SAST Regulations and imposed a joint and several penalty of ₹5,00,000 (Five Lakh Rupees) under Section 15A(b) of SEBI Act, 1992.

Four noticees were cleared of violations:

  • Noticee No. 16 (Gopalbhai Hardasbhai Shingala): Had transferred all shares in January 2021 and held zero shares during examination period
  • Noticee No. 17 (Kanchanben Vasantbhai Shingala): Not part of promoter group during examination period
  • Noticee No. 18 (Vasantbhai H Shingala (HUF)): Not part of promoter group during examination period
  • Noticee No. 19 (Pravinkumar Hardasbhai Shingala (P)): Not part of promoter group during examination period

The penalty must be paid within 45 days of order receipt through SEBI's online payment facility. Failure to pay may lead to recovery proceedings under Section 28A of SEBI Act.

Topics: SEBI Enforcement, Disclosure Violations, Promoter Group Accountability