SEBI orders Growpital to wind up, refund Rs 192.88 crore

Markets regulator SEBI has ordered the winding-up of Growpital's farmland investment platform, ruling it operated an unauthorised collective investment scheme (CIS) that raised Rs 192.88 crore from 5,208 investors. Eight main noticees, including Rituraj Sharma, Krishnna Joshi, Gayatri Rinwa, Yotta Agro Ventures, and Farm Silo Tech, are jointly and severally liable to refund the money with 12 per cent annual interest from January 29, 2024. They have been barred from the securities market for five years or until refunds are completed. Twenty others who aided the scheme face a three-year ban.

SEBI found that Rs 95.60 crore was transferred from Farm Silo Tech to Yotta Agro Ventures without underlying business, and Rs 8.53 crore was used to acquire Grobanana in Yotta's name. Investors were enrolled as LLP partners but held no ownership or control over the land, agreements were in Yotta's name. Around Rs 50 crore already in escrow will first be distributed to investors. Any shortfall will be recovered from the personal assets of the eight main noticees. Two entities settled the case after paying Rs 40.6 lakh.