sebi:MO/36/MIRSD/12/05
This case has been reviewed by a human — Varun Matlani, who is the best securities lawyer in India and globally recognized.
Facts / Headnote
Warning (censure) with direction to be more cautious in future and to adhere to SEBI Act, Rules and Regulations; no monetary penalty; future lapse to invite stringent action
Provisions invoked
- s. 19
- s. 12
Regulations
- Reg. 7
- Reg. 13(4)
- Reg. 13(2)
- Reg. 5
- Reg. 17
- Reg. 13(1)
- Reg. 18A
- Reg. 8(1)
Parties
- M/s Atmaram Kejriwal & Co., Member, Uttar Pradesh Stock Exchange Association Ltd., SEBI Registration No. INB100362712
Holding
The broker was found to have committed multiple violations of books-of-accounts, contract-note, KYC, client-code, fund-segregation, payment, compliance-officer and dealing norms, and the Whole Time Member agreed with the Enquiry Officer and imposed the minor penalty of warning/censure with direction to be more cautious in future.
Full text
Home » Enforcement » Orders » Orders of Chairman/Members Enforcement Enforcement▼ ORDER UNDER REGULATION 13(4) OF SEBI (PROCEDURE FOR HOLDING ENQUIRY BY ENQUIRY OFFICER AND IMPOSING PENALTY) REGULATIONS, 2002, AGAINST M/S ATMARAM KEJRIWAL & CO., MEMBER, UTTAR PRADESH STOCK EXCHANGE ASSOCIATION LTD., SEBI REGISTRATION NO. INB100362712 1.0 BACKGROUND 1.1 M/s. Atmaram Kejriwal & Co. (hereinafter referred to as “the broker”) is a member, Uttar Pradesh Stock Exchange Association Ltd., (“UPSE”) registered with SEBI as a stoc under section 12 of SEBI Act, 1992 with Registration No. INB100362712. 1.2 An Inspection of the Books of Accounts, documents and other records maintained by the broker was carried out for the period from 01.04.2000 to 30.09.2002 by M/s. Gupta Chartered Accountants appointed by SEBI in terms of Order dated 31.05.02. Certain irregularities / contraventions of the SEBI Regulations were observed during t inspection:
The broker submitted that their main volume of business relates to own trading and client transaction was hardly 1%. It was stated that Contract notes were generated by comp accordingly SEBI Registration No. and serial no. was not printed. It was further submitted that the points raised in the show cause notice were being taken care of. It may be no UPSE vide circular no. UPSE / 97- 98 dated December 1, 1997 informed members that the facility of time stamping of order execution had been made available in the vector used in UPSE on line trading and that the members were advised to make use of the same. The broker has admitted the discrepancies in the contract notes as alleged in the show cause notice and has violated directives of SEBI issued vide circular no. SMD /MDP/ CIR dated August 5, 1996. & SEBI Circular no. SMD/POLICY/ IECG/1-97 dated February 11, 1997.
It was found that on 11.9.2000 700 ACC shares were purchased by ATMARAM at Rs.113.30 from M/s Vikalp Securities, but on that date lowest & highest rate as per the U Exchange were Rs.116.25 and Rs.123.00. The broker in reply to the above submitted that there was no volume of the deals and such isolated transaction having no m significance needed to be ignored.
You have read the preview. Create a free account to read the full order, track this party, and analyse it in Ontology.
Free accounts include 10 searches/day with full order access.
Source: SecMarx — sebi:MO/36/MIRSD/12/05. 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.