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NEW DELHI: Sebi on Tuesday imposed a total fine of Rs 40 lakh on four individuals for fraudulent trade in scrips of three firms and also for indulging in indirect trade, in violation of the market regulator's restraint order.
Bhavesh Pabari, Hemant Sheth, Prem Mohanlal Parikh and Ankit R Sanchaniya were found to have dealt in the scrip of three firms --Polytex India, and KGN Enterprise-- even as Sebi had barred them from securities market through an order in February 2011.
They used certain other entities as front entities to trade in the scrips of the firms.
Besides, the connected entities indulged in non-genuine trades and created artificial volume in the scrips.
They violated Prohibition of Fraudulent and Unfair Trade Practices norms.
The individuals are facing a fine of Rs 10 lakh each for violating the market norms.
In a separate order, Sebi asked Ltd to exercise due care and caution and ensure adherence to all applicable norms in matters pertaining to issuance of duplicate shares henceforth.
Sebi gave the direction while disposing of proceedings against Eicher Motors on a complaint by an individual, who alleged that the firm and its registrar and share transfer agent had cheated on him by changing his address and signature in their records, issuing duplicate share certificates for 100 shares of Eicher belonging to him and thereafter illegally transferring the said shares to someone else's name.
The complaint was later on withdrawn by the complainant and thus Sebi disposed of the case.
Bhavesh Pabari, Hemant Sheth, Prem Mohanlal Parikh and Ankit R Sanchaniya were found to have dealt in the scrip of three firms --Polytex India, and KGN Enterprise-- even as Sebi had barred them from securities market through an order in February 2011.
They used certain other entities as front entities to trade in the scrips of the firms.
Besides, the connected entities indulged in non-genuine trades and created artificial volume in the scrips.
They violated Prohibition of Fraudulent and Unfair Trade Practices norms.
The individuals are facing a fine of Rs 10 lakh each for violating the market norms.
In a separate order, Sebi asked Ltd to exercise due care and caution and ensure adherence to all applicable norms in matters pertaining to issuance of duplicate shares henceforth.
Sebi gave the direction while disposing of proceedings against Eicher Motors on a complaint by an individual, who alleged that the firm and its registrar and share transfer agent had cheated on him by changing his address and signature in their records, issuing duplicate share certificates for 100 shares of Eicher belonging to him and thereafter illegally transferring the said shares to someone else's name.
The complaint was later on withdrawn by the complainant and thus Sebi disposed of the case.
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