sebi:MO/40/MIRSD/12/2005

SEBI · SEBI · 1999-09-14 · Madhukar, Whole Time Member

Reviewed by Varun Matlani, Advocate — Securities Lawyer practicing in SAT and SEBI

Facts / Headnote

warning

Provisions invoked

• s. 19
• s. 12

Regulations relied on

• SEBI (Enquiry & Penalty) Regulations, 2002

Parties

• M/s. Atul Manharlal Chokshi

Holding

M/s. Atul Manharlal Chokshi, member of Ahmedabad Stock Exchange, was warned and directed to be more cautious and adhere to the SEBI Act, 1992 and Rules and Regulations thereunder.

Full text

Home » Enforcement » Orders » Orders of Chairman/Members Enforcement Enforcement▼ Order Against M/S. Atul Manharlal Chokshi Dec 28, 2005 | Orders : Orders of Chairman/Members MO/40/MIRSD/12/2005 SECURITIES AND EXCHANGE BOARD OF INDIA

  PLACE: MUMBAI DATE :  28.12.2005 MADHUKAR WHOLE TIME MEMBER SECURITIES AND EXCHANGE BOARD OF INDIA 12. I find from the above that the violations committed by the brokers are minor procedural lapses, excepting execution of off the floor transactions and non- segregation of funds, which are in violation of SEBI Circulars dated 14.9.1999 and 18.11.1993. However, considering the mitigating factors considered by the Enquiry officer, I am of the view that a warning to the broker would be sufficient and justified. 13. Now, therefore, in exercise of the powers conferred upon me in terms of Section 19 of the SEBI Act read with Regulation 13(4) of the said Regulations. I hereby warn M/s. Atul Manharlal Chokshi, member, Ahmedabad Stock Exchange, bearing SEBI Registration No. INB020124619 and direct him to be more cautious in future in its dealings with securities and to adhere to the provisions of SEBI Act, 1992 and the Rules and Regulations made thereunder. Any future lapse on its part in complying with the said provisions would invite stringent action.

7. With regard to the execution of off market transactions, the inspection report has identified 28 such transactions which are outside the trading system of the exchange. The EO concluded that these transactions are not in compliance with SEBI Circular No.SMDRP/Policy/CIR-32/99 dated 14.9.99. However, he concluded based on the inspection report that there was no deficiency of service or loss suffered by the clients and there was no price manipulation and recommended that it may be treated as unintentional lapses.

Source: SecMarx — sebi:MO/40/MIRSD/12/2005. 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.