Origins of Parsoli Corporation
Parsoli Corporation is a financial-sector company listed on the BSE under the code 530071 that became known in India not for a product but for a long run of regulatory action against it and its promoters. It was incorporated in November 1990 as Parsoli Investment and Trading Company, and its name was changed in September 1994. The promoter named in the records is Z. Y. Sareshwala. Its ISIN is INE905D01016. Anyone checking the company today should start from the exchange’s current listing information and the regulator’s orders, not from old promotional material.
Anyone who needs the registered office or current contact details of the company should ask the BSE or the Registrar of Companies for the address on file, and should not rely on addresses found in old references.
In February 2026 Business Standard still showed the stock as not traded. That detail matters to anyone who finds old references to the company and wonders whether shares can be bought today.
The SEBI orders of 2010
The regulator, the Securities and Exchange Board of India, passed an earlier order on 28 June 2010 under sections 11(4) and 11B of the SEBI Act, 1992. Ask SEBI for a copy if you need to know what it directed. A written request to the regulator’s office is the proper route to a copy.
A fuller order followed on 27 July 2010, announced the next day. It barred Parsoli Corporation, Zafar Yunus Sareshwala and Uves Yunus Sareshwala from the securities market for seven years. The two individuals were also barred for seven years from holding directorships in listed companies. The order directed an open offer to public shareholders under the delisting regulations, and provided that the BSE should compulsorily delist the company if public shareholding fell below the minimum.
What a market ban means
A ban from the securities market stops the named parties from buying, selling or dealing in securities, directly or indirectly, for the period set. A directorship ban stops the individuals from sitting on the boards of listed companies. The aim of such directions is to protect investors, and they are not criminal punishments, although other proceedings can run in parallel.
For public shareholders, the direction for an open offer was the part with the most direct effect. An open offer under delisting rules gives the remaining holders a chance to sell to the acquirer on stated terms before the shares leave the exchange. A holder who wants to know what price was set or how many shareholders took part should ask SEBI or the exchange.
The tribunal and the allegation of fraud
The promoters appealed. The Securities Appellate Tribunal dismissed six appeals on 12 August 2011. On 21 August 2011 Arab News quoted SEBI as describing the conduct as fraud of the worst kind on the shareholders, and wrote that the promoters had presented their brokerage and investment business as Shariah compliant.
That claim is the reason the name appears in discussions of Islamic finance in India. Do not treat the company as having any Shariah standing. A statement by a promoter that a business follows Islamic principles is not a certification, and the case shows why a named, qualified Sharia board with published opinions matters more than a label.
The sequence is instructive: a market-wide order in 2010, a failed appeal in 2011 and the loss of broker registration in 2013. Each step came from a different body, the regulator, the tribunal and then the exchanges, and each tightened the position of a company that had already been found wanting. Readers should note that the tribunal’s dismissal of appeals does not mean the story ended there, since later proceedings continued into the 2020s.
Broker registration cancelled in 2013 and 2014
In July 2013 SEBI cancelled the company’s registration as a stock broker, holding that it was not a fit and proper person. The National Stock Exchange cancelled its registration in September 2013. The September 2013 SEBI Bulletin lists an order in the matter of Parsoli Corporation Limited, and the full text, date and findings can be requested from SEBI.
The BSE expelled the company as a trading member on 12 March 2014, as Business Standard wrote on that date. After expulsion, a firm can no longer take client orders on that exchange. For clients of a broker, such an event is the point at which they have to claim their securities and funds, so it is the clearest example of what can go wrong when a broker’s standing is lost.
Recovery proceedings and the 2024 final order
SEBI also ran recovery proceedings against the company. A release order in recovery certificate numbers 24 to 40 of 2013 is dated 30 May 2022, and readers should check the SEBI record for amounts or outcome. A reader who needs the amounts or the outcome should ask SEBI for them in writing rather than rely on summaries.
A further document is a Final Order in the matter of Parsoli Corporation Limited dated 27 September 2024, reference WTM/AN/CFD/CFD-SEC-5/30814/2024-25, filed under orders of the Chairperson and Members. The findings, directions and any penalties are set out in the order itself, so anyone who needs those details should read the full PDF on the regulator’s website instead of relying on summaries.
Reading a regulatory order takes some patience. The heading names the parties, the reference number identifies the file, and the operative part near the end lists the directions. Start with the directions, then go back to the findings to understand why they were made. Where a web page shows only a summary, the full PDF is the authoritative text.
Where the shares stand now
On 5 March 2025 the BSE showed the category as listed, with trading status given as suspended for penal reasons and for non-payment of annual listing fee dues. The shares were therefore not tradable then, and Business Standard still showed no trading in February 2026.
Whether the delisting directed in 2010 was ever completed, and the company’s current BSE status, should be checked with the exchange. A reader who holds old shares should check the exchange’s current listing information and ask a registered broker or the company’s registrar for help.
Holders of shares in a suspended company face a practical problem: they can see a quoted price on paper but cannot sell. Suspension for non-payment of listing dues is an administrative step by the exchange, and it differs from a ban imposed by SEBI on named individuals. In this case both kinds of record exist, which is why the two should not be confused when reading the history.
Lessons for anyone assessing an Islamic-style offer
Parsoli Corporation is not an Islamic finance provider in any regulated sense. It appears here only as a cautionary regulatory case. The practical lessons are simple and can be applied to any offer that uses Islamic wording.
- Check whether the entity is registered with the right regulator for what it sells, such as SEBI for securities or the RBI for lending companies.
- Treat a Shariah label as a claim to be tested, and look for a named board and published opinions.
- Look through the regulator’s orders section for the firm and its promoters by name.
- Never leave securities or cash with a broker whose registration has been cancelled or suspended.
The RBI Sachet portal lets a person check whether an entity is registered with the financial regulators, and the SEBI SCORES system accepts complaints against listed companies and intermediaries. Using them before investing costs nothing and takes minutes.
A final point concerns how stories travel. Names that once carried a promise of ethical or halal investing can survive in forum posts and old write-ups long after the facts have turned. When a name from the past comes up in a conversation about halal investing, look for dated, primary records before forming a view, and treat unsupported praise with the same caution as unsupported accusation.