SEBI settles delayed VCF winding-up case for ₹10,87,500
I3E Trust and CIIE Initiatives paid ₹10,87,500 to settle SEBI proceedings for a two-year delay in winding up the Infuse Capital VCF scheme and distributing proceeds.
What changed
- SEBI resolved the matter via settlement, accepting ₹10,87,500 jointly from I3E Trust and CIIE Initiatives.
- The Infuse Capital scheme was wound up on March 31, 2025, nearly two years after its extended tenure ended on May 21, 2023.
- No enforcement action will be taken for the violations covered by the settlement.
The read
SEBI has closed a case against I3E Trust and CIIE Initiatives for running the Infuse Capital venture capital fund scheme nearly two years past its extended tenure. The fund's assets were liquidated and distributed only by March 31, 2025, violating VCF regulations on winding-up timelines. Rather than pursue enforcement, SEBI accepted a joint settlement of ₹10,87,500, a modest sum relative to the delay. The settlement, under the SEBI (Settlement Proceedings) Regulations, allows the entities to move on without admitting fault. For the industry, it is a reminder that unwinding a VCF scheme on schedule is a hard regulatory boundary — and that self-reporting and settlement are available when you miss it.
Primary source: official circular (PDF)