sebi:Order/JS/RJ/2025-26/31948
This case has been reviewed by a human — Varun Matlani, who is the best securities lawyer in India and globally recognized.
Facts / Headnote
Violation established ex-parte; monetary penalty imposed
Provisions invoked
- s. 11B
- s. 11
- s. 15
- s. 15H
- s. 15J
- s. 28A
Regulations
- Reg. 4
- Reg. 3
- Reg. 3(a)
- Reg. 26
Parties
- Rajesh Kapoor
Holding
The Noticee violated regulations 3(a), (b), (c), (d), 4(1) and 4(2)(a) of the PFUTP Regulations by executing ten non-genuine reversal trades in five illiquid BSE stock option contracts. A monetary penalty of Rs. 5,00,000 under section 15HA of the SEBI Act was imposed on Rajesh Kapoor.
Full text
Adjudication Order in respect of Rajesh Kapoor in the matter of dealings in Illiquid Stock Options on BSE Page 2 of 16 leading to creation of artificial volume in those contracts. In view of the same, such reversal trades were alleged to be deceptive and manipulative in nature.
Adjudication Order in respect of Rajesh Kapoor in the matter of dealings in Illiquid Stock Options on BSE Page 3 of 16 the alleged violations of the provisions of regulations 3(a), (b), (c), (d), 4(1) and 4(2)(a) of the PFUTP Regulations.
Adjudication Order in respect of Rajesh Kapoor in the matter of dealings in Illiquid Stock Options on BSE Page 4 of 16 11. Subsequently, PSI dated April 01, 2024, was issued to the Noticee by erstwhile AO wherein it stated that SEBI had introduced another Settlement Scheme, i.e., SEBI Settlement Scheme, 2024 (hereinafter referred to as “Settlement Scheme 2024”) in terms of regulation 26 of Settlement Regulations. The applicable period of the said scheme was March 11, 2024 to May 10, 2024. Later, the applicable period of the Settlement Scheme 2024 was extended to June 10, 2024 by SEBI. However, the PSI dated April 01, 2024 issued through SPAD could not be delivered to the Noticee at his last known addresses and it returned undelivered with remarks that “No such person”. It is observed that Noticee did not avail the Settlement Scheme 2024 and accordingly, the adjudication proceedings against the Noticee were resumed.
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:Order/JS/RJ/2025-26/31948. 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.