sebi:ORDER/SM/EE/2019-20/3804-3806
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Facts / Headnote
Penalty imposed
Provisions invoked
- s. 15H
- s. 15J
- s. 15
- s. 28A
Regulations
- Reg. 4
- Reg. 3
- Reg. 4(1)
- Reg. 3(a)
Parties
- Rajeev Kumar Bhala (Noticee No. 1)
- Rajeev Kumar Bhala HUF (Noticee No. 2)
- Urmila Bhala (Noticee No. 3)
Holding
The Noticees violated Regulations 3(a),(b),(c),(d) and 4(1), 4(2)(a) and (e) of the PFUTP Regulations by executing manipulative trades in the scrip of Superior Industrial Enterprises Ltd during Patch 1 (price rise) and Patch 2 (price fall), and a monetary penalty of Rs. 10,00,000/- (jointly and severally) was imposed on Noticees 1, 2 and 3 under Section 15HA of the SEBI Act.
Full text
In the matter of Superior Industrial Enterprises Ltd Page 2 of 12 on Noticee(s) No. 1,2 and 3 for the alleged provisions of law. SCN was duly delivered to the Noticees.
In the matter of Superior Industrial Enterprises Ltd Page 3 of 12 5.5. I do not know any promoter or company employee or any person which is connected to the company in any manner. This was my personal investment decision and my own capital was used to purchase. I have filed Income tax returns in which all the taxes that were due to me were paid. 5.6. I dealt in this share like I do in any other share by purchasing and selling in small quantities so that the price of the remaining holding shares comes down. 5.7. I had also received the notice no. L/DOSS/INV/KM/1415025/COL/201 4-2015/946 dated 10/03/2015 from BSE along with the notice of JSEL Securities Ltd. Notice no. JSELS/2014/564 dated 17/03/2015 regarding the trading in the above mentioned script. I placed my reply on 18/03/2015. 5.8. As your notice indicates about the price movement I am deeply surprised and shocked about the allegation of price manipulation. 5.9. All the allegation regarding the positive and negative LTP as a investor I cannot understand by my small trading these got effected. My trades were of very small quantity which in no circumstances can affect the price moment of the script which has a large market cap and turnover. Further I am enclosing my total purchase and sales for the period 2013-14 & 2014-15. I am also enclosing stock register and transaction summary for all the other scrips that I have traded in 2013-14 and 2014-15.
In the matter of Superior Industrial Enterprises Ltd Page 4 of 12 Consideration of Issues and Findings: 9. I have carefully perused the charges levelled against the Noticees and the materials/documents available on record. The issues that arise for consideration in the present case are:
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Source: SecMarx — sebi:ORDER/SM/EE/2019-20/3804-3806. 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.