Sept 17 (Reuters) – India’s markets regulator has barred telecom infrastructure firm Kore Digital from raising money from the public and blocked its migration to the main stock exchange board, alleging financial irregularities. In a notification issued on Thursday, the Securities and Exchange Board of India said Kore Digital inflated revenue through non-genuine subsidiaries and […]
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India markets regulator bars Kore Digital from fundraising, alleges financial manipulation
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Sept 17 (Reuters) – India’s markets regulator has barred telecom infrastructure firm Kore Digital from raising money from the public and blocked its migration to the main stock exchange board, alleging financial irregularities.
In a notification issued on Thursday, the Securities and Exchange Board of India said Kore Digital inflated revenue through non-genuine subsidiaries and manipulated financial statements.
Here are more details:
• SEBI said its findings showed that since Kore acquired three subsidiaries in late 2024, those units had accounted for about 75% of the company’s revenue on average.
• However, site visits found no evidence that the three subsidiaries and their step-down subsidiaries operated from their stated addresses, raising questions about whether they actually existed, the regulator said.
• Incorporated in 2009, Kore Digital listed on NSE’s SME platform on June 14, 2023 and was eligible to migrate to the main stock exchange board on June 14, 2026.
• SEBI has barred Managing Director Ravindra Doshi, CEO Chaitanya Doshi and CFO Kashmira Doshi from trading in the company’s shares and ordered a forensic audit of Kore’s books.
(Reporting by Abhinav Parmar in Bengaluru; Editing by Diti Pujara)