sebi:AO/SG-VS/EAD/30/2017
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Facts / Headnote
Noticee not liable for monetary penalty; violations not established
Provisions invoked
- s. 15
- s. 15H
- s. 15I
- s. 15J
- s. 23J
- s. 23
- s. 23D
Regulations
- Reg. 9(f)
- Reg. 9
- Reg. 13(1)
- Reg. 26
- Reg. 7(1)
Parties
- M/s Pune E-Stock Broking Pvt. Ltd.
Holding
The Noticee, M/s Pune E-Stock Broking Pvt. Ltd., was held not liable for monetary penalty under Section 15HB of the SEBI Act and Section 23D of SCRA, as the alleged violations of segregation of client funds were not established.
Full text
Adjudication Order in respect of M/s Pune E-Stock Broking Pvt. Ltd. Page 2 of 25 transferred from client’s bank accounts to PESB’s own bank account on several instances. One of such instances is as under: Date Level Axis BSE Client Acct no. 30597 (Rs in lacs) Axis NSE F&O Client Acct no. 30621 (Rs in lacs) Yes Bank BSE Client Acct no. 553 (Rs in lacs) Yes Bank own Acct no. 871 (Rs in lacs) Remarks 15\01\2013 1 254.00 254.00
Adjudication Order in respect of M/s Pune E-Stock Broking Pvt. Ltd. Page 3 of 25 b) Circuitous fund transfer among client’s bank accounts and PESB’s own bank accounts: During the course of inspection, circuitous fund transfer among PESB own bank accounts and various client bank accounts were observed without any rationale. The time gap in such fund transfers was less than 2 seconds and funds were ultimately moved in from where it originated. One of such observations has been explained below:- Sr. no. Date Level Time Yes Bank own Account 871 (Rs in lakhs) Yes Bank BSE Client Account 553 (Rs in lakhs) Yes Bank NSE Client Account 565(Rs in lakhs) 1 30\03\2013 1-forth 18:51:45 300.00 300.00
Adjudication Order in respect of M/s Pune E-Stock Broking Pvt. Ltd. Page 4 of 25 Date Fund received in Own account no. 28121 from client account no. 30597 Fund transferred from Own account no. 28121 to-Pune E Commodities Broking Pvt. Ltd Remarks Amounts (Rs in lakhs) Amounts(Rs in lakhs) fund from client accounts is Rs. 1.41 lakhs only. 28\09\2012 14.00
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Source: SecMarx — sebi:AO/SG-VS/EAD/30/2017. 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.