sebi:Order/AP/VS/2019-20/7158
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Facts / Headnote
Violation of Regulations 3(a), (b), (c), (d), 4(1) and 4(2)(a) of PFUTP Regulations established; monetary penalty of ₹6,00,000 imposed under Section 15HA of the SEBI Act
Provisions invoked
- s. 15
- s. 15H
- s. 15I
- s. 15J
- s. 15F
- s. 28A
Regulations
- Reg. 3
- Reg. 2(1)(c)
- Reg. 3(a)
Parties
- Global Earth Properties and Developers Pvt. Ltd.
Holding
The Noticee was held liable for violating Regulations 3(a), (b), (c), (d), 4(1) and 4(2)(a) of the PFUTP Regulations by executing 94 non-genuine reversal trades in 29 illiquid Stock Option contracts on BSE, and a monetary penalty of ₹6,00,000 was imposed under Section 15HA of the SEBI Act.
Full text
_________________________________________________________________________________ Adjudication order in respect of Global Earth Properties and Developers Pvt. Ltd. in the matter of Illiquid Stock Options at BSE Page 2 of 12 without any basis for significant change in the contract price which indicates that these trades are artificial and are non-genuine in nature. The summary of dealings of Noticee in such 29 Stock Options contracts is as follows: Table 1 – Summary of dealings of the Noticee in contracts wherein the Noticee executed non- genuine trades S. No. Contract Name Avg. Buy Rate (₹) Total Buy Volume (no. of units) Avg. Sell Rate (́₹) Total Sell Volume (no. of units) % of Non Genuin e trades of Noticee in the contract to Noticee ’s Total trades in the Contrac t % of Non Genuine trades of Entity in the contract to Total trades in the Contract % of Artificial Volume generated by Noticee in the contract to Noticee’s Total Volume in the Contract % of Artificial Volume generated by Noticee in the contract to Total Volume in the Contract 1 ADPW15MAR52.00CEW 2 4.90 928000 2.20 928000 100% 4% 100% 25% 2 ADPW15MAR58.00PEW 2 3.30 1280000 1.35 1280000 100% 14% 100% 31% 3 AMBC15MAR235.00CE 23.00 111000 14.00 111000 100% 20% 100% 15% 4 BHRT15FEB340.00CE 17.00 83000 11.00 83000 100% 50% 100% 49% 5 CARN15FEB265.00PE 15.50 126000 7.50 126000 100% 36% 100% 39% 6 DISH15MAR85.00CEW3 3.60 356000 0.80 356000 100% 3% 100% 8% 7 DISH15MAR85.00PE 3.15 356000 0.35 356000 100% 7% 100% 13% 8 DRRL
_________________________________________________________________________________ Adjudication order in respect of Global Earth Properties and Developers Pvt. Ltd. in the matter of Illiquid Stock Options at BSE Page 3 of 12 S. No. Contract Name Avg. Buy Rate (₹) Total Buy Volume (no. of units) Avg. Sell Rate (́₹) Total Sell Volume (no. of units) % of Non Genuin e trades of Noticee in the contract to Noticee ’s Total trades in the Contrac t % of Non Genuine trades of Entity in the contract to Total trades in the Contract % of Artificial Volume generated by Noticee in the contract to Noticee’s Total Volume in the Contract % of Artificial Volume generated by Noticee in the contract to Total Volume in the Contract 28 TISC15MAR330.00CE 9.00 384500 2.50 384500 100% 18% 100% 25% 29 YESB15FEB600.00CE 284.50 5000 223.20 5000 100% 56% 100% 50%
_________________________________________________________________________________ Adjudication order in respect of Global Earth Properties and Developers Pvt. Ltd. in the matter of Illiquid Stock Options at BSE Page 4 of 12
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Source: SecMarx — sebi:Order/AP/VS/2019-20/7158. 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.