Franklin Templeton, which is in the eye of the storm for abruptly closing six of its debt schemes, accumulated Rs. 1,111 crore from the sale of assets and income from investments as of July-end. The amount may be disbursed in the third week of this month by SBI Funds. Management, the official liquidator appointed by the Supreme Court.
The six debt funds had assets under management (AUM) of about Rs. 25,000 crore when they were abruptly closed last April. So far, the suspended funds have been disbursed Rs. 21,080 crore to investors, about 84 per cent of the AUM. The average net asset value (NAV) at which five tranches have been disbursed for each of the six schemes is higher than the NAV as of April 23, said Sanjay Sapre, President, Franklin Templeton Asset Management.
Franklin Templeton Short Term Income Plan and Ultra Short Term Bond funds have received the highest amount of Rs. 431 crore and Rs. 254 crore in the fortnight ended July 30 while credit risk fund and Dynamic Accrual funds have got Rs. 124 crore and Rs. 88 crore. The remaining Income Opportunity and Low Duration funds have Rs. 85 and Rs. 45 crore for disbursement.
"We believe this supports the decision made by the trustee in consultation with the AMC and its investment management team to wind up the six schemes in order to preserve value for our unitholders," he added
With respect to the SEBI order, he said the Securities Appellate Tribunal has issued orders stay ing enforcement of SEBI's orders conditioned on the deposit of a portion of the monetary penalties. Further, SEBI had filed an appeal before the Supreme Court against the interim order issued by SAT.