New Delhi, Dec 14 (PTI) Markets regulator Sebi Friday said the ban imposed on F6 Finserv, F6 Commodities and their eight former and present directors for non-settlement and mis-utilisation of client funds would “continue till further orders”.

The eight directors are Pankaj Goel, Parveen Sharma, Meenu Goel, Sanjay Anand, Kavita Anand, Asha Sharma, Deepak Goel and Ruchika Goel.

While Pankaj is the present director of F6 Finserv Pvt Ltd, the other seven are its former directors. Pankaj and Meenu are also the current directors of F6 Commodities Pvt Ltd.

In May, Sebi had banned the entities and directed them to provide a full inventory of all their assets.

The interim order in this regard was passed after the regulator ‘prima-facie’ found that client funds having credit balance were used to fund clients having debit balance and also that the brokers had raised funds by pledging securities of clients in violation of Sebi norms.

Besides, the two brokers were connected to each other and there were huge fund transfers between them.

After passing the order, the regulator had asked the entities to file their objection/reply.

In Friday’s order, Sebi said the entities “have failed to give any plausible reasoning/ explanation for their acts and omissions as described in the interim order and have not been able to make out a prima facie case for revocation/ modification of the interim order… therefore, do not see any reason to change or revoke the ad interim order as against the noticees (entities).” Moreover, Sebi directed the NSE Defaulter and MCX Defaulter Committee to open a separate Demat account where the securities lying in the Demat accounts of F6 Finserve and F6 Commodities can be transferred, respectively.

This is published unedited from the PTI feed.