Business · Companies · 9 hrs ago
SEBI bars EKI Energy and executives over financial misrepresentation
India’s markets regulator, SEBI barred EKI Energy Services for two months and its managing director Manish Kumar Dabkara for 12 months.
The company trades carbon credits, and SEBI also barred former CFO Mohit Kumar Agarwal for eight months, director Naveen Sharma for five months and director Sonali Sheikh for one month.
SEBI said EKI recognised Rs 197.04 crore in revenue too early during the first three quarters of FY23, making its performance appear stronger to investors.
It also found the company overstated expenses by Rs 26.34 crore in FY22 and FY23, which understated profits and diverted funds through payments for services not provided.
SEBI said Dabkara was responsible for continued disclosure of incorrect financial information and ordered him to take immediate steps to recover the diverted money.
The regulator imposed penalties totalling Rs 88 lakh on the company and several current and former officials, who must pay within 45 days.
SEBI barred EKI Energy Services from the securities market for two months and its managing director, Manish Kumar Dabkara, for 12 months.
The regulator said the company misrepresented its financial statements and diverted funds.
SEBI also barred former CFO Mohit Kumar Agarwal for eight months, whole-time director Naveen Sharma for five months and whole-time director Sonali Sheikh for one month.
The regulator found that EKI prematurely recognised Rs 197.04 crore in revenue and overstated expenses by Rs 26.34 crore.
SEBI imposed penalties totalling Rs 88 lakh and directed Dabkara to take immediate steps to recover the diverted amount.
- Who
- SEBI barred EKI Energy Services and several current and former executives.
- What
- It imposed market bans and penalties over financial misrepresentation and fund diversion.
- When
- October 31, 2026, when the articles reported SEBI’s final order.
- Where
- Not stated
- Why
- SEBI said EKI prematurely recognised revenue and overstated expenses, misrepresenting its financial performance and diverting funds.
This story does not have two clearly opposing sides.
EKI overstated expenses by Rs 26.34 crore, according to SEBI.
EKI prematurely recognised revenue totalling Rs 197.04 crore, according to SEBI.
Reports said SEBI issued a 94-page final order imposing market bans and penalties.
- EKI Energy Services market ban
- 2 months
- Manish Kumar Dabkara market ban
- 12 months
- Prematurely recognised revenue
- Rs 197.04 crore
- Overstated expenses
- Rs 26.34 crore
- Total penalties
- Rs 88 lakh
2 sources
What people are saying
EKI’s publication and continued disclosure of prematurely recognised revenue of Rs 197.04 crore constituted reckless financial misrepresentation connected with investor decisions concerning its listed shares
booked fictitious expenses against services not rendered
The company diverted ₹26.34 crore by overstating expenses during 2021-22 and 2022-23