sebi:ERO/SLPL/AO/DRK/MD/EAD-3/03/2009
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Facts / Headnote
Penalty imposed
Provisions invoked
- s. 15A
- s. 15
- s. 15H
- s. 11C
- s. 11C(3)
Regulations
- Reg. 4
- Reg. 4(2)
Parties
- Srijan Vyapar Private Limited
Holding
The Adjudicating Officer held that Srijan Vyapar Private Limited violated Regulation 4(2)(a) and 4(2)(e) of the PFUTP Regulations by engaging in manipulative, fraudulent and unfair trade practices in the scrip of SLPL, and imposed a penalty of Rs. 1,30,00,000 under Section 15HA of the SEBI Act.
Full text
Page 2 of 13 2 SEBI Act, read with Rule 3 of Securities and Exchange Board of India (Procedure for Holding Inquiry and Imposing Penalties by Adjudicating Officer) Rules, 1995 (hereinafter referred to as ‘Rules’) to inquire into and adjudge under Section 15HA of the SEBI Act, the violations of Regulation 4(2) (a) and 4(2) (e) of PFUTP Regulations. SHOW CAUSE NOTICE, HEARING AND REPLY
Page 3 of 13 3 (2) Dealing in securities shall be deemed to be a fraudulent or an unfair trade practice if it involves fraud and may include all or any of the following, namely:- (a) indulging in an act which creates false or misleading appearance of trading in the securities market; (e) any act or omission amounting to manipulation of the price of a security;
Page 4 of 13 4 the Investigating officer was only seeking preliminary details in respect of it’s dealing in the scrip of SLPL. In this regard, it is pertinent to note that Section 11C(3) of the SEBI Act empowers the Investigating Authority of SEBI to require any person associated with the securities market to furnish such information or to produce such records as may be required by the Investigating Authority. Further, Section 11C (5) empowers the Investigating Authority to examine such persons.
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Source: SecMarx — sebi:ERO/SLPL/AO/DRK/MD/EAD-3/03/2009. 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.