sebi:Order/KS/AE/2021-22/12648-12703

SEBI · SEBI · 2011-12-20 · K Saravanan, Chief General Manager & Adjudicating Officer

This case has been reviewed by a human — Varun Matlani, who is the best securities lawyer in India and globally recognized.

Provisions invoked

• s. 11B
• s. 11(4)
• s. 15
• s. 19
• s. 12A
• s. 21
• s. 11
• s. 15H
• s. 15J
• s. 28A
• s. 23J
• s. 23
• s. 248
• s. 248(5)
• s. 14
• s. 14(1)
• s. 31
• s. 33
• s. 212
• s. 21o

Regulations

• Reg. 7
• Reg. 11
• Reg. 2(c)
• Reg. 3
• Reg. 7(1)
• Reg. 6
• Reg. 4
• Reg. 4(1)
• Reg. 199
• Reg. 10
• Reg. 8
• Reg. 4(2)
• Reg. 200
• Reg. 2
• Reg. 2(e)
• Reg. 8(2)
• Reg. 3(a)
• Reg. 7(3)
• Reg. 3(b)
• Reg. 4(2)(a)

Full text

Adjudication order in the matter of Jaybharat Textiles and Real Estate Ltd. & KSL and Industries Ltd. Page 2 of 181 31 Vijay Sawant AMHPS5372A 32 Dhananjay Kandhare Not available 33 Kishore Patil ATMPP6578P 34 Jayesh Merchant AALPM9050F 35 Amit shivalkar Not available 36 Vijay Upadhyay AARPU3795M 37 Anil Kumaran Not available 38 Kanti C Patel AIGPC1538H 39 Gauri S Raut Not available 40 Sudhir Gargodia Not available 41 Sanjay Jambhale AGAPJ4974C 42 Satish Mhatre Not available 43 Vipin Kumar Bhatnagar AJCPK4281A 44 Cyberinfo zeeboomba.com AABCC7400L 45 Ahmednagar Investments P ltd. AADCA9872E 46 21st Century Entertainment AAACZ1383L 47 Giriganga Investments P Ltd AABCG8591L 48 Global Softech Ltd. AABCG1089R 49 Cyber Infosystems and Technologies Ltd. AABCC2176K 50 Delux Polymers P Ltd. AAACD4132B 51 Shree Ganesh Hosiery Mills P Ltd. AAACS5510L 52 Shree Krishna Silk Industries P Ltd. AAACS5165K 53 Envair Realty P Ltd. AABCF7461R 54 Charms Holding P Ltd. AACCC9761F 55 Jaybharat Textile & Real Estate Ltd. AAACJ5959L 56 KSL & Industries Ltd. AAACK4722E

Adjudication order in the matter of Jaybharat Textiles and Real Estate Ltd. & KSL and Industries Ltd. Page 3 of 181 2. Investigation revealed that promoters of the Companies along with their connected entities with the common understanding have acquired and actually held shares in scrip of JTREL and in the scrip of KSLIL which is far in excess of what has been declared by them publicly. Investigations also revealed that the promoters of JTREL & KSLIL have been able to disguise the extent of the shareholding in both the companies in a devious manner through the artifice of holding the shares of their company through their benami, in most cases their employees or workers. Investigation further revealed that some of the above entities continuously dealt in the shares of KSLIL and JTREL and created artificial volumes in the said scrips. It is also observed that promoters utilized their connected entities for creating various layers of fund transfer among their connected entities to avoid any scrutiny.

Adjudication order in the matter of Jaybharat Textiles and Real Estate Ltd. & KSL and Industries Ltd. Page 4 of 181 4. Incidentally, I note that Whole Time Member of SEBI vide order dated January 10, 2019 disposed of the parallel 11B proceedings initiated against the said entities tabulated in the first and second page of the instant order and interalia observed as under- “58. In view of the foregoing, I, in exercise of the powers conferred upon me in terms of Section 19 read with Section 11(4) and Section 11B of the SEBI Act, Regulation 11 of PFUTP Regulations, 2003 and Section 12A of the SCRA, hereby issue the following directions – (i) The following set of entities that were restrained from buying, selling or dealing in the shares of Jaybharat Textiles and KSL directly or indirectly, in any manner (vide the Ad–Interim Ex– Parte Order dated September 7, 2007), are hereby restrained from accessing the securities market and are further prohibited from buying, selling or otherwise dealing in securities in any manner whatsoever, either directly or indirectly, for a period of 2 years from the date of this Order. TABLE XXIV – NOTICEES 1 EDC SECURITIES LIMITED 2 JAYSHREE PETROCHEMICALS PVT. LIMITED 3 AVERY PROCON PVT. LIMITED 4 AXON REALPRO PVT. LIMITED 5 MEGNA DEVELOPERS PVT. LIMITED

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