sebi:ORDER/VG/VV/2022-23/18823
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Facts / Headnote
Penalty of INR 4,00,000 imposed on the Noticee
Provisions invoked
- s. 11B
- s. 11
- s. 15
- s. 12
- s. 15H
- s. 15J
- s. 12A
- s. 15F
- s. 23J
- s. 23
- s. 23D
Parties
- Safal Capital (India) Limited (SEBI Registration Number INZ000155333)
Holding
The Noticee violated client fund segregation, client securities segregation, running-account settlement, client-funding and CKYC norms and Section 23D of the SCRA, and is liable to a total monetary penalty of INR 4,00,000 (INR 2,00,000 under Section 23D of the SCRA and INR 2,00,000 under Section 15HB of the SEBI Act).
Full text
Page 2 of 22 referred to as the Adjudication Rules) and rule 3 of the Securities Contracts (Regulations) (Procedure for Holding Inquiry and Imposing Penalties) Rules, 2005 (hereinafter referred to as the SCRA Adjudication Rules) to inquire into and adjudge under Section 15HB of the SEBI Act and Section 23D of the SCRA for the alleged violations committed by the Noticee (SEBI Registration number: INZ000155333). The appointment of the undersigned as the Adjudicating Officer was communicated vide communique dated August 10, 2021. SHOW CAUSE NOTICE, REPLY AND HEARING
Page 3 of 22 vide e-mail dated April 4, 2022, stated that, certain other stock brokers have also been let off with warning in the matters pertaining to the availing of the STL. The Noticee further stated that such order copies could not be produced as the same are not part of the public documents.
Page 4 of 22 III. If so, what would be the quantum of monetary penalty that can be imposed on the Noticee after taking into consideration the factors mentioned in Section 15J of the SEBI Act and Section 23J of the SCRA?
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Source: SecMarx — sebi:ORDER/VG/VV/2022-23/18823. 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.