New Delhi, Aug 26 : KFin Technologies on Tuesday said that it has paid Rs 87.7 lakh to the Securities and Exchange Board of India (SEBI) to settle a case involving alleged violations of regulatory norms.

The development comes after the company filed a settlement application in August 2024, asking the SEBI to close the adjudication proceedings against it.

Accepting the proposal, SEBI's Adjudicating Officer Jai Sebastian, in a settlement order, said the show-cause notice issued to the company in July 2024 stands disposed of.

"The instant adjudication proceedings initiated against the applicant (KFin Technologies) vide SCN (show cause notice) dated July 8, 2024, are disposed of," the Adjudicating Officer said in the settlement order.

The case began after the SEBI inspected KFin Technologies' operations between February and November 2023.

During the inspection, the regulator found that the company had failed to exercise due diligence in processing dematerialisation requests of shares.

It also noted that nearly 18 lakh folios without PAN details and another 18 lakh folios without bank account details were not marked for enhanced checks, which amounted to violations of the SEBI's rules for registrars and share transfer agents.

While the settlement order ensures that the SEBI will not pursue enforcement action in this case, the regulator has made it clear that it reserves the right to act if misrepresentation is found or if KFin fails to comply with the settlement terms.

KFin Technologies Limited, also known as KFintech, is a financial services platform that works with asset managers and corporate issuers by offering a wide range of solutions.

The company helps businesses and investors with fund accounting, investor servicing, digital platforms, and compliance support.

Its fund accounting and administration services provide asset managers with end-to-end support for managing their funds effectively.

/IANS