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SEBI Drops Religare Case After Burman Group Takeover Closes
SEBI dropped proceedings against Religare and Rashmi Saluja after the Burman Group completed its takeover, ruling the open offer's conclusion resolved the underlying issue and no further action was warranted.
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India's markets regulator ended proceedings against Religare Enterprises and its former executive chairperson Rashmi Saluja on Friday, ruling that no further action was needed after the Burman Group completed its takeover in February.
SEBI's interim order from June 2024 had accused Religare and its board of failing to cooperate during the open offer. The regulator alleged the company did not facilitate statutory approvals from agencies including the Reserve Bank of India.
That order was "preventive and remedial," SEBI's quasi-judicial authority Biju S wrote in the disposal order. The direction had served its purpose once the open offer closed and control of REL passed to the Burman Group in February 2025. The post-offer advertisement was published on Feb. 18.
SEBI did not rule on the competing claims of the parties. Independent directors said they relied on representations from Saluja and were not involved in day-to-day operations. Saluja and Hamid Ahmed, another former official, said the Committee of Independent Directors functioned independently. They argued legal opinions from reputable entities had indicated the open offer was not beneficial to Religare or its shareholders.