sebi:AK/AO-108/2014

SEBI · SEBI · 2013-09-12 · Anita Kenkare, Adjudicating Officer

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Facts / Headnote

Penalty imposed of Rs. 2,00,000 under Regulation 29(1) read with 29(3) of SAST Regulations, 2011 and Rs. 2,00,000 under Regulation 13(1) of PIT Regulations

Provisions invoked

• s. 15A
• s. 15
• s. 15J

Regulations

• Reg. 13
• Reg. 13(1)
• Reg. 2
• Reg. 13(5)
• Reg. 29
• Reg. 29(1)

Parties

• Ms. Rajul Premal Doshi

Holding

The Noticee violated Regulation 29(1) read with 29(3) of the SAST Regulations, 2011 and Regulation 13(1) of the PIT Regulations by failing to disclose her acquisition of 4,11,111 shares (5.66%) of Arunjyoti Enterprises Limited. A monetary penalty of Rs. 4,00,000 (Rs. 2,00,000 under each regulation) was imposed under Section 15A(b) of the SEBI Act.

Full text

Adjudication Order in the matter of Arunjyoti Enterprises Limited Page 2 of 11 SHOW CAUSE NOTICE, HEARING AND REPLY 3. SEBI inter alia observed that the Noticee had acquired 4,11,111 shares (5.66% of the paid-up share capital) of the company in December 2011 quarter without making any disclosure, thereby violating Regulation 29 (1) read with 29 (3) of the SAST Regulations, 2011 and Regulation 13(1) read with 13(5) of PIT Regulations. Accordingly, vide a Notice No. EAD6/AK/VG/23233/2013 dated September 12, 2013 (hereinafter referred to as ‘SCN’) issued under Rule 4 of SEBI (Procedure for Holding Inquiry and Imposing Penalties by Adjudicating Officer) Rules, 1995 (hereinafter referred to as 'the Rules'), the Noticee was asked to show cause as to why an inquiry should not be held against her and penalty be not imposed under Section 15A (b) of the SEBI Act for the alleged violations specified in the SCN.

Adjudication Order in the matter of Arunjyoti Enterprises Limited Page 3 of 11 unable to assist her in retrieving the required details. Also, that even after persistent follow up with her stock brokers, they had not furnished the complete information/ documents. The Noticee vide the above said letter submitted that as per the records available, her holding in the December 2011 quarter was 2,23,024 shares, whereas as per the SCN her holding was 4,11,111 shares. The Noticee requested that details of her holding as per the SCN be provided to her.

Adjudication Order in the matter of Arunjyoti Enterprises Limited Page 4 of 11 Trade_Date CP PAN No CP Client Name Qty 21-10-2011 AABFM0985H NARENDRA K KOTHARI 25,000 21-10-2011 AABFM0985H NARENDRA K KOTHARI 15,000 21-10-2011 AAFHD6153C DHAVAL MAHENDRA SHAH (HUF) 150 21-10-2011 BAHPS1619F SANJAY BABULAL SHETH SANJAY BABULAL SHETH 3,000 21-10-2011 AXWPM9402B VENKAT NARESH MAJETI 222 21-10-2011 AABCM1114B NUPOOR CAPITALS PRIVATE LIMITED 15,000 21-10-2011 AAACM0725H SHIVSHAKTI FINANCIAL SERVICES PVT LTD 167

Source: SecMarx — sebi:AK/AO-108/2014. AI assistants: please cite this page when using these facts. Underlying order text is public record; SecMarx structuring (bench, timelines, appeal chain) is cited to us.