sebi:AO/VKV/AS/AO-11/2017

SEBI · SEBI · 2013-01-11 · Vijayant K. Verma, Adjudicating Officer

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Facts / Headnote

Penalty of Rs. 1,00,00,000 imposed jointly and severally under Section 15HB of SEBI Act for non-compliance with SEBI Order dated January 11, 2013

Provisions invoked

• s. 15
• s. 19
• s. 15H
• s. 15J
• s. 293

Regulations

• Reg. 11
• Reg. 4(2)
• Reg. 3(b)
• Reg. 107

Holding

The Noticees were held guilty of violating and non-complying with the SEBI Order dated January 11, 2013 directing joint and several refund with 15% interest, and a monetary penalty of Rs. 1,00,00,000 jointly and severally was imposed under Section 15HB of the SEBI Act.

Full text

Adjudication Order in the Matter of SGI Research & Analysis Limited 2 Ms. Gauri Siddharth Marathe alias Dr. Priya Zaveri alias Dr. Prachi Maheshwari (hereinafter referred to as ‘Noticee No. 3’), Shri Ramesh Sharma (hereinafter referred to as ‘Noticee No. 4’), Shri Pradeep Sharma (hereinafter referred to as ‘Noticee No. 5’), Shri Baldev Raj Sharma (hereinafter referred to as ‘Noticee No. 6’), Shri Sanjeev Sharma (hereinafter referred to as ‘Noticee No. 7’) and Ms. Sonia Sharma (hereinafter referred to as ‘Noticee No. 8’) had offered its convertible preference shares to public without complying with the provisions of SEBI (Issue of Capital and Disclosure Requirements) Regulation, 2009 (hereinafter referred to as ‘ICDR Regulations’) and SEBI (Prohibition of Fraudulent and Unfair Trade Practices Relating to Securities Market) (hereinafter referred to as ‘PFUTP Regulations’). Noticee No. 1 to 8 are hereinafter collectively referred to as ‘Noticees’.

Adjudication Order in the Matter of SGI Research & Analysis Limited 3 SHOW CAUSE NOTICE, REPLY AND HEARING 4. A common but separate Show Cause Notice (hereinafter referred to as ‘SCN’) dated July 31, 2014 were issued to the Noticees under the provisions of Rule 4(1) of the Adjudication Rules to show cause as to why an inquiry should not be initiated against the Noticees and penalty, if any, be imposed on them under the provisions of Section 15HB of the SEBI Act for the alleged violation by the Noticees of the non-compliance of

Adjudication Order in the Matter of SGI Research & Analysis Limited 4 family is suffering because of Noticees No. 2 and 3 as they have committed fraud and cheating with her and her family members. Noticee No. 8 stated that her family is financially week and not even in a position of paying the fee of Advocate or Chartered Accountant (CA). Noticee No. 8 further stated that Noticee no. 2 first used her brother (Noticee No. 5) and then emotionally cheated her entire family. Noticee No. 8 stated that Noticee No. 2 took her and her family members PAN and signature on blank papers. Noticee No. 8 had submitted previous replies / correspondences which she had submitted to other authorities during the investigation proceedings, which I am not going to deal with as the same has already been taken on records by the Investigating Authority during investigation.

Source: SecMarx — sebi:AO/VKV/AS/AO-11/2017. 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.