SEBI Issues Formal Demand Notice to Mediaone Global Entertainment as Defaulting Debtor in ₹27 Lakh Recovery Action

SEBI Issues Formal Demand Notice to Mediaone Global Entertainment as Defaulting Debtor in ₹27 Lakh Recovery Action​

Securities and Exchange Board of India (SEBI) has issued a formal Notice of Demand against Mediaone Global Entertainment Ltd., detailing significant financial dues related to past proceedings. The action, specifically under Recovery Certificate No. 9136 of 2026, mandates the company to settle an outstanding amount totaling ₹27,31,000 within a stringent 15-day period.

The regulatory move comes under Section 28A of the SEBI Act and Section 23JB of the Securities Contracts (Regulation) Act, 1956. This notice emphasizes the formal recovery procedures available to SEBI should the demanded amount not be paid by the stipulated deadline.

Breakdown of Dues Under Recovery Certificate No. 9136​

The total sum due from Mediaone Global Entertainment Ltd. comprises various components related to prior regulatory orders and ongoing recovery costs. The certificate explicitly details the composition of the ₹27,31,000 demand.

A substantial portion of the debt originates from a penalty imposed by the WIM through an Order dated February 27, 2026. This penalty alone is listed at ₹26,00,000.00. Furthermore, interest accruing from February 2026 to June 2026 at a rate of 1% p.m. has been calculated, amounting to ₹1,30,000.00.

The remaining amount is designated for Recovery Costs incurred during the proceedings, which total ₹1,000.00. The addition of these components results in the final mandated payment amount of ₹27,31,000.00.

Mandate and Deadline for Payment​

Mediaone Global Entertainment Ltd. has been formally directed to remit the entire outstanding sum within 15 days of receiving this notice. Payments must be made via direct credit through EFT/NEFT/RTGS to Account No. SEBIRRDPEN9136 of ICICI Bank (CIC0000106).

Alternatively, the company can utilize the dedicated online payment facility available on the sebi.gov.in website or through the specified payment link under the Enforcement-Recovery Proceedings section. Failure to meet this deadline will trigger severe recovery measures by SEBI.

Consequences of Non-Payment and Asset Restrictions​

SEBI has outlined multiple strict enforcement actions that will be initiated if the dues are not cleared. These actions include the attachment and sale of movable property, the attachment of bank accounts, or the seizure of immovable property. The notice also stipulates the possibility of arrest and detention in prison.

Beyond these penalties, SEBI notes specific restrictions on the company's assets. As per Explanation 1 to Section 28A of the SEBI Act, any transfer of property or monies held by Mediaone Global Entertainment Ltd. to a spouse, minor child, son’s wife, or son's minor child after February 27, 2026, without adequate consideration, will be deemed for recovery purposes.

Operational Constraints and Future Liability​

The notice explicitly advises that upon service of the demand, the company is restricted from mortgaging, charging, leasing, or otherwise dealing with any property it owns. Any such transfer must receive explicit permission from the Recovery Officer; otherwise, the transaction is deemed void as per Rule 16 of the Second Schedule to the Income-tax Act, 1961.

It is crucial for the company to note that beyond the current dues, they will remain liable for any further interest or additional costs and charges incurred by SEBI in connection with these recovery proceedings. The Recovery Officer has been designated as Kirtikumar Jadhav Dy. General Manager & Recovery Officer of Securities and Exchange Board of India.