The Securities and Exchange Board of India on Thursday directed Reliance Mutual Fund and Reliance Capital Asset Management Ltd to withdraw the advertisement for their recently launched infrastructure fund, and also asked them to show cause why they should not be restrained from launching any new schemes.
Why Securities and Exchange Board of India issued the order?
The entities did not submit the advertisement to SEBI within the stipulated seven days from the date of issue of the fund offer, said the market regulator. The audio-visual was unintelligible and also lasted for less than the SEBI-mandated five seconds.
This leads to a situation where the investors are not able to take well-informed decisions, the SEBI order said.