SEBI notes 53.96% revenue drop at Gretex Corporate Services Limited

This order addresses SEBI's enquiry into Gretex Corporate Services Limited, a registered Merchant Banker, regarding alleged failures to maintain minimum net worth and inadequate due diligence in an SME public issue. It details the procedural history, the Designated Authority's recommendation, and the Noticee's defenses.

Gretex Corporate Services Limited (Merchant Banker, Registration No. INM000012177); Jayant Infratech Limited (Issuer of the SME public issue in question).

• SEBI conducted an inspection for the period April 1, 2021, to January 31, 2023.
• Alleged violations include non-maintenance of minimum net worth in FY 2019–20 (Regulation 7) and failure to exercise adequate due diligence for Jayant Infratech Limited's SME issue (Regulation 13).
• The Designated Authority (DA) recommended prohibiting Gretex from taking up new assignments or launching new schemes for one month.
• Gretex filed a settlement application which was rejected by SEBI.
• A Show Cause Notice (SCN) was issued on December 23, 2024, and a Post-Enquiry SCN was issued on July 11, 2025.
• A personal hearing was held on October 23, 2025, attended by the Noticee's Authorized Representative, Managing Director, and Vice President.
• The Noticee argued the net worth dip was temporary due to market conditions and that due diligence was thorough.

Written from the document by AI, and checked against it. The original below is authoritative.

The original document