CDSL, Citibank settle regulatory violation cases with Sebi

New Delhi: Leading depository CDSL and global lender Citibank N.A. on Tuesday settled with Sebi cases pertaining to the alleged violation of regulatory norms after paying settlement charges.

CDSL and Citibank N.A (DDP) paid Rs1.3 crore and Rs40.2 lakh, respectively, towards settlement charges, according to separate orders passed by Sebi. The orders came after CDSL and Citibank N.A. filed applications with Sebi proposing to settle the instant proceedings initiated against them, “without admitting or denying the findings of facts and conclusions of law” through settlement orders.

In view of the acceptance of the settlement terms and the receipt of the settlement amount, the instant adjudication proceedings initiated against CDSL and Citibank N.A. through show cause notices dated November 13, 2023, and February 9, 2024, respectively, are disposed of, Sebi said in its orders. With regards to the depository, the Sebi initiated adjudication proceedings against CDSL for the alleged violation of provisions related to the operational framework for transactions in defaulted debt securities post-maturity date/redemption date.