sebi:AO/SBM/EAD-1/317/2018
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Facts / Headnote
Penalty imposed for failure to comply with summons under Sections 11C(2) and 11C(3) of the SEBI Act
Provisions invoked
- s. 15A
- s. 15
- s. 19
- s. 12
- s. 15J
- s. 11C(6)
- s. 11C
- s. 11C(2)
- s. 11C(3)
Parties
- Gulistan Vanijya Private Limited
Holding
The Noticee, Gulistan Vanijya Private Limited, is liable for penalty under Section 15A(a) of the SEBI Act for failing to comply with the summons dated January 29, 2014 and June 03, 2014 issued by the Investigating Authority, thereby violating Sections 11C(2) and 11C(3) of the SEBI Act. A penalty of Rs 5,00,000/- was imposed on the Noticee.
Full text
Page 2 of 17 IPO of RKDL viz. Comfort Securities Limited ( hereinafter referred to as ‘CSL’). It was also observed during the course of investigation that CIL, which has been referred in the aforementioned news article was a group/associate company of CSL.
Page 3 of 17 b) Noticee also transferred Rs. 3 crore to the account of Prefer Abasan Pvt. Ltd. (Prefer) on December 24, 2010, which had, in turn transferred the said amount to the account of its stock broker viz. M/s Maverick Share Brokers Pvt. Ltd. on December 27, 2010 for trading in the shares of RKDL. c) Subsequently, Prefer transferred back Rs. 3 crore to the account of the Noticee on February 10, 2011, which the Noticee transferred to Albright Electricals Private Limited (Albright). Albright also received Rs. 5 crore from Vibhuti Multi trade Private Limited (Vibhuti) on the same day i.e. February 10, 2011. Albright, in turn transferred these funds to 8 different entities in tranches. Albright also transferred Rs. 25 lakh to the Noticee on February 11, 2011.
Page 4 of 17 6. Specifically, the IR had made the following observations against the Noticee:- “Gulistan (Kotak Mahindra Bank A/c no. 03232000018000) (Annexure 15) had received Rs 4 crore from RKDL (Axis Bank A/c no. 910020037719618) on Dec 24, 2010 out of the IPO proceeds. On the same day, Gulistan transferred Rs 1 crore to Udaybhai Prabhudas Shah and Rs 3 crore to Prefer Abasan Pvt Ltd. a. On receipt of Rs 1 crore from Gulistan on Dec 24, 2010, Udaybhai Prabhudas Shah (Federal Bank A/c no. 15410200002214) (Annexure 16) transferred Rs 1 crore to his broker, Kunvarji Finstock Pvt Ltd on the same day. Udaybhai Prabhudas Shah had bought 6,42,500 shares (buy value = approx. Rs 5.47 cr) and sold 2,42,500 shares (sell value = approx. Rs 1.95 cr) of RKDL on the day of listing, i.e., Dec 27,2010. b. On receipt of Rs 3 crore from Gulistan on Dec 24, 2010, Prefer Abasan Pvt Ltd (Prefer) (HDFC bank A/c no. 10152560003621) (Annexure 17) transferred the same to its stock broker Maverick Share Brokers Pvt Ltd on December 27, 2010. Prefer had purchased 35,41,092 shares of
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Source: SecMarx — sebi:AO/SBM/EAD-1/317/2018. 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.