Page 14 - Banking Finance June 2021

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Rs 15 cr penalty imposed Financial services players crore), Tamilnad Mercantile Bank (Rs
1,000-1,300 crore), Medi Assist (Rs 840
by SEBI on FT MF chief line up Rs 55,000 crore crore) and Jana Small Finance Bank (Rs

executive issues,IPO pie to grow 700 crore), among others. And the
Sebi imposed a cumulative penalty of bigger board of the biggest payments bank
Paytm has reportedly cleared an over
over Rs 15 crore on top officials of With payments major Paytm's board Rs 22,000 crore IPO.
Franklin Templeton Mutual Fund (FT reportedly approving a bumper share
MF) and its trustee for violation of Sebi sale plan running north of Rs 22,000 Together, these financial services
regulations while managing the six crore, the IPO market is set for a big days companies are set to garner around Rs
55,000 crore from the public. If
schemes wound up last year. as over a dozen financial services
players, including fintechs, are set to materialised, the Paytm issue will be
The regulator imposed Rs 3 crore the largest IPO ever in the country,
penalty on FT Trustees Services and Rs mop up over Rs 55,000 crore this fiscal eclipsing the hitherto largest issue --
from the market, according to
2 crore each on chief executive officer the Rs 15,000-crore share sale by the
investment bankers. With more than a
(CEO) Sanjay Sapre and chief government in national miner Coal
dozen insurance, asset management,
investment officer (CIO) Santosh commercial banking, non-banks, India in October 2010, says investment
Kamath. microfinance, housing finance and bankers seeking not to be quoted.
Five other fund managers were levied payment bank players already filing draft
a fine of Rs 1.5 crore each and chief documents with the market regulator Long term rebound for
compliance officer was asked to pay Rs Sebi for public offerings, the financial airline industry
50 lakh. services sector is set to dominate the After flying into the financial turbulence
primary issues or initial public offerings
"The serious lapses and violations (IPOs) over the coming months. of the Covid pandemic, the airline sector
clearly appear to be a fallout of FT MF's expects passenger traffic to take off
Some of those who have already filed despite concerns about the industry's
obsession to run high yield strategies
without due regard from the the draft red herring prospectus impact on climate change. In its latest
(DRHPs) with the Sebi include Aadhar look at trends for the sector, the
concomitant risk dimensions. FT MF
Housing Finance (Rs 7,500 crore), Policy International Air Transport Association
ought to have realised that the past
Bazaar (Rs 4,000 crore), Aptus Housing (IATA) said it doesn't expect world air
track record in respect of high-risk Finance (Rs 3,000 crore), Star Health traffic to resume to its prepandemic level
strategies is no guarantee against
Insurance (Rs 2,000 crore), Sun Life before 2023. But over 20 years, air traffic
future mishaps," said Sebi order said.
AMC (Rs 1,500-2,000 crore) Arohan should almost double, from 4.5 billion
FT MF had shuttered its six debt Financial Services (Rs 1,800 crore), passengers in 2019 to 8.5 billion in 2039.
schemes in April 2020 citing liquidity Fusion Microfinance (Rs 1,700 crore), That is, however, a drop of one billion
issues due to the Covid-19 outbreak. Fincare Small Finance Bank (Rs 1,330 passengers from IATA's pre-crisis forecast.

14 | 2021 | JUNE | BANKING FINANCE