ABC Ltd. is a SEBI registered Collective Investment Management company. It has launched a Collective Investment scheme viz. 'Har Ghar Sapna' and collected money for acquiring land and construction of houses. Due to sudde

As per Regulation 24(6) of the SEBI (Collective Investment Schemes) Regulations, 1999, each collective investment scheme shall immediately after the closure of the subscription list comply with the following conditions: Minimum subscription amount of ₹20 crore . Minimum twenty investors . No person shall hold more than twenty-five percent of the assets under management of the scheme. If the collective scheme fails to comply with the above provisions, the Collective Investment Management Company shall be liable to refund the application money to the applicant. In the instant case, ABC Ltd.'s scheme 'Har Ghar Sapna' has only 15 investors and a total subscription of ₹15 crore. This fails to meet both the minimum investor requirement (20 investors) and the minimum subscription amount (₹20 crore). Therefore, ABC Ltd. cannot run the scheme and should refund the application money to all the applicants.