Rajib Kumar Mishra ceases to be chairman of PFS, CMD of PTC India after Sebi's order

New Delhi: Rajib Kumar Mishra ceased to be chairman of PTC India Financial Services Ltd (PFS) as well as CMD of PTC India Ltd following the order passed by markets regulator Sebi that restrained him from holding the director's post for six months, the two companies said on Thursday.

PFS, promoted by PTC India Ltd, is a non-deposit-taking NBFC classified as an infrastructure finance company.

Mishra held office in PFS in the capacity of chairman and non-executive director and was also holding the position of Chairman & Managing Director of PTC India Ltd.

"Pursuant to... regulatory order issued by Sebi, Rajib Kumar Mishra ceases to be the chairman, non-executive director of the company with effect from the date of issue of the said order i.e. June 12, 2024," PFS said in a regulatory filing to the stock exchanges.

In a separate filing, PTC India said that Mishra ceased to be in his position in the company with effect from the date of the order.

On Wednesday, the regulator prohibited Mishra from "holding any position of director or key managerial personnel in any listed company or any intermediary registered with Sebi or associating himself with any listed public company or a public company which intends to raise money from the public or any intermediary registered with Sebi, in any capacity, for a period of six months" for corporate governance lapses at PFS.

Also, Sebi slapped a fine of Rs 10 lakh on him.

Apart from Mishra, the watchdog prohibited the company's former MD and CEO Pawan Singh from holding the post of director in any listed company for two years and also imposed a penalty of Rs 25 lakh on him.

In its order, Sebi noted that Pawan Singh had "grossly misused" his position as the MD and CEO of PFS to prevent Ratnesh from joining as Whole Time Director (Finance) and Chief Financial Officer (CFO), which was approved by the company's board. Further, Mishra was acting as a willing accomplice of Singh.

"The role of Noticee 2 (Mishra) in flouting the norms of corporate governance in this matter is well established," Sebi stated in its order.