SEBI to re-adjudicate Citrus Check Inns Ltd. penalty, SAT sets deadline December 31, 2026

The core issue is the alleged violation of SEBI's interim and confirmatory orders from 2015 regarding the collection of funds from investors.

Who it concerns: Citrus Check Inns Ltd. (Noticee 1), Omprakash Basantlal Goenka (Noticee 2), Prakash Ganpat Utekar (Noticee 3), and Venkatraman Natarajan (Noticee 4).

What SEBI found or ordered

• SAT set aside the previous penalty order of INR 50,00,000 dated December 28, 2018, regarding Noticees 2, 3, and 4.
• SAT remanded the matter to SEBI for fresh consideration, directing SEBI to complete proceedings by December 31, 2026.
• SEBI granted a hearing on July 15, 2026, and the Noticees filed their reply on July 14, 2026.
• The Noticees argued that the alleged violations were inadvertent, caused by collection agents, and that their assets are already attached under Supreme Court directions.
• The Noticees claimed they were non-executive directors (for Noticees 3 and 4) and not responsible for day-to-day operations.

Also in the document

• The previous penalty of INR 50,00,000 was imposed jointly and severally on the company and four directors, but the SAT set it aside for three of the directors.
• The Noticees stated they are currently debarred from the securities market pursuant to a separate SEBI Final Order dated October 09, 2025.
• The SAT directed that the fresh proceedings be completed expeditiously and no later than December 31, 2026.