Nexus Select Mall Management settles net worth disclosure case with SEBI

Nexus Select Mall Management settles net worth disclosure case with SEBI

• SEBI settles Nexus Select Mall case for Rs 24.37 lakh for REIT violations
• Company failed to maintain net worth and notify SEBI of changes
• SEBI HPAC had recommended the settlement application

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Capital market regulator Securities and Exchange Board of India (SEBI) has approved settlement application of Nexus Select Mall Management Private Limited after the company agreed to pay Rs 24.37 lakh towards alleged violations of REIT regulations.

SEBI had issued a show cause notice (SCN) to the company on June 11, 2025, alleging violations of Regulation Real Estate Investment Trusts (REIT) Regulations on the grounds that company failed to maintain the required net worth, and did not intimate SEBI about a material change in its net worth.

SEBI had initiated adjudication proceedings for the alleged lapses. While the adjudication proceedings were pending, the company filed a settlement application on July 10, 2025, under the SEBI (Settlement Proceedings) Regulations, 2018, without admitting or denying the findings of fact and conclusions of law.

The representatives of company attended meetings with SEBI’s Internal Committee in August and October 2025 and later submitted revised settlement terms. Later, High Powered Advisory Committee (HPAC), in its meeting held on December 19, 2025, recommended settlement of the case upon payment of Rs 24.37 Lakh. The recommendation was approved by SEBI’s Panel of Whole Time Members on February 3, 2026. The company paid the settlement amount on February 12, 2026, which was confirmed by the regulator.

SEBI adjudicating officer, Amit Kapoor, wrote in the order, “ in view of the acceptance of the settlement terms and the receipt of settlement amount as above by SEBI, the adjudication proceedings initiated against Applicant vide SCN dated June 11, 2025 is disposed of in terms of section 15JB of the SEBI Act read with regulation 23(1) of the Settlement Regulations”.

Settlement orders are without prejudice to SEBI’s right to initiate or restore enforcement proceedings if it later emerges that the applicant failed to make full and true disclosure or breached any undertakings or waivers given as part of the settlement.

Also read: SEBI weighs scrapping Close-to-Money norms in options on goods to ease compliance: Sources