Capital market regulator SEBI has settled enforcement proceedings against Mirae Asset Venture Opportunity Trust AIF, its manager and six key managerial personnel after the fund exceeded the regulatory limit on investments in a single company.
The case relates to the Mirae Asset Late Stage Opportunities Fund, a scheme of the Category II Alternative Investment Fund (AIF), which invested ₹128 crore in Supermarket Grocery Supplies.
As of June 30, 2023, the investment accounted for 38 per cent of the scheme’s investable funds of ₹334 crore, exceeding the 25 per cent limit prescribed for investments in a single investee company.
SEBI’s examination of the fund’s Private Placement Memorandum Audit Report for 2023-24, along with the AIF’s subsequent replies, found that the concentration exceeded the prescribed threshold during part of the review period.
The investment represented 25.11 per cent of the scheme’s investable funds in March 2023 before rising to 38 per cent in June 2023. It later fell to 24.44 per cent by September 30, 2023. SEBI therefore observed prima facie non-compliance between January 1, 2023, and September 30, 2023.
According to SEBI, the breach prima facie violated Regulation 15(1)(c) of the AIF Regulations, 2012, read with Regulation 20(1) and the relevant provisions of the code of conduct. The fund manager and six key managerial personnel were also identified as being prima facie in violation of the applicable provisions.
SEBI issued a notice of summary settlement on June 9, 2026, offering the applicants an opportunity to resolve the proceedings by filing a settlement application and paying ₹12.75 lakh.
The applicants filed the application on July 1, 2026. The settlement amount had been remitted on June 19, 2026, and SEBI confirmed receipt.
Under the settlement order, SEBI said it would not initiate enforcement action against the applicants for the specified violations. However, the regulator retained the right to take appropriate action if representations made during the settlement process were later found to be untrue, undertakings or waivers were breached, or any discrepancy resulted in a shortfall in the settlement amount.
The settlement order took effect immediately.