Section 28 in Securities And Exchange Board Of India (Venture Capital Funds) Regulations, 1996
28. Submission of report to the Board.-
The inspecting or investigating officer shall, as soon as possible, on completion of the inspection or investigation submit an inspection or investigation report to the Board:Provided that if directed to do so by the Board, he may submit an interim report.Communication of findings etc., to the venture capital fund.-(1)The Board shall, after consideration of the inspection or investigation report or the interim report referred to in regulation 28, communicate the findings of the inspection officer to the venture capital fund and give him an opportunity of being heard.(2)On receipt of the reply if any, from the venture capital fund, the Board may call upon the venture capital fund to take such measures as the Board may deem fit in the interest of the securities market and for due compliance with the provisions of the Act and these regulations.(3)[ The Board may after consideration of the investigation or inspection report and after giving reasonable opportunity of hearing to the venture capital fund or its trustees, directors issue such direction as it deems fit in the interest of securities market or the investors including directions in the nature of:-(a)requiring a venture capital fund not to launch new schemes or raise money from investors for a particular period;(b)prohibiting the person concerned from disposing of any of the properties of the fund or scheme acquired in violation of these regulations;(c)requiring the person connected to dispose of the assets of the fund or scheme in a manner as may be specified in the directions;(d)requiring the person concerned to refund any money or the assets to the concerned investors along with the requisite interest or otherwise, collected under the scheme;(e)prohibiting the person concerned from operating in the capital market or from accessing the capital market for a specified period.]
