Zee Entertainment forms interim committee to run operations

The announcement comes after SEBI barred MD and CEO Punit Goenka and ex-chairman Subhash Chandra from holding directorial, managerial positions.

Zee Entertainment Enterprises has formed an interim committee to oversee operations after a SEBI order barred MD and CEO Punit Goenka and ex-chairman Subhash Chandra from holding directorial, managerial posts.

The company in a statement said: “The Board of ZEE Entertainment Enterprises Ltd. (ZEEL) in a meeting conducted on July 14, 2023, evaluated and discussed all the necessary steps, in light of the interim order passed by the Securities and Exchange Board of India (SEBI) and the subsequent judgement by Securities Appellate Tribunal (SAT). Since the order restricts Punit Goenka from holding the position as director or key managerial position in a listed company, the Board of the Company has constituted an Interim Committee of senior executives to ensure smooth operations of the Company."

SEBI, in an interim order on June 12, stated Goenka and Chandra allegedly "abused their positions" for personal financial gains, they had faked the recovery of loans to cover private financing deals by its founder Subhash Chandra.

The regulator, as per Moneycontrol, also said the duo engaged in the alienation of assets belonging to Zee Entertainment and other listed companies of the Essel Group, with the aim of benefiting their associate entities.