sebi:Order/KS/AS/2020-21/10123
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Facts / Headnote
Violation established; penalty of Rs. 5,00,000 imposed under Section 15HA
Provisions invoked
- s. 15
- s. 19
- s. 15H
- s. 15J
- s. 15F
- s. 28A
Regulations
- Reg. 3
- Reg. 3(a)
- Reg. 26
Parties
- Rohan Finance & Securities Limited
Holding
The Noticee violated Regulations 3(a), (b), (c), (d), 4(1) and 4(2)(a) of PFUTP Regulations, 2003 by executing non-genuine reversal trades in illiquid BSE stock options, and a monetary penalty of Rs. 5,00,000 under Section 15HA of the SEBI Act, 1992 was imposed.
Full text
Page 2 of 23 2. Pursuant to investigation, it was observed that total 2,91,643 trades comprising substantial 81.38% of all the trades executed in stock options segment of BSE during the IP were non genuine trades. The aforesaid non- genuine trades resulted into creation of artificial volume to the tune of 826.21 crore units or 54.68% of the total market volume in stock options segment of BSE during the IP. It was observed that Rohan Finance & Securities Limited (hereinafter referred to as the “Noticee”) was one of the various entities which indulged in execution of reversal trades in stock options segment of BSE during the IP. Such trades were observed to be non-genuine in nature and created false or misleading appearance of trading in terms of artificial volumes in stock options and therefore alleged to be manipulative, deceptive in nature. In view of the same, SEBI initiated adjudication proceedings against the Noticee for violation of the provisions of Regulations 3(a), (b), (c), (d), 4(1) and 4(2)(a) of SEBI (Prohibition of Fraudulent and Unfair Trade Practices) Regulations, 2003 (hereinafter referred to as “PFUTP Regulations, 2003”).
Page 3 of 23 penalty is liable, impose such penalty deemed fit in terms of Rule 5 of Adjudication Rules and Section 15HA of SEBI Act, 1992.
Page 4 of 23 2 ALBK15APR130.00PEW3 31.80 68000 17.10 68000 100% 33% 100% 52% 3 ALBK15JUN85.00CEW1 22.40 104000 13.10 104000 100% 100% 100% 100% 4 ALLD15APR45.00CE 24.15 56000 15.20 56000 100% 100% 100% 100% 5 ALLD15JUN50.00CEW1 21.45 44000 12.35 44000 100% 100% 100% 100% 6 ANBK15MAY105.00PEW1 29.75 36000 15.85 36000 100% 100% 100% 100% 7 BOSH15MAR26000.00PEW1 700.00 3000 26.00 3000 100% 50% 100% 92% 8 CANB15MAY430.00PEW3 80.40 9000 47.10 9000 100% 100% 100% 100% 9 HAIL15MAY330.00PEW3 61.05 4000 36.05 4000 100% 100% 100% 100% 10 IDBI15MAY95.00PEW3 26.75 24000 15.30 24000 100% 50% 100% 32% 11 IDEA15MAY220.00PEW3 44.15 18000 27.50 18000 100% 100% 100% 100% 12 IDFC15JUN190.00PEW1 37.45 8000 21.80 8000 100% 100% 100% 100% 13 IOBL15APR34.00CE 9.40 72000 5.90 72000 100% 100% 100% 100% 14 JAIA15MAY34.00PEW1 14.90 80000 8.50 80000 100% 100% 100% 100% 15 LNTF15APR40.00CE 25.40 52000 15.80 52000 100% 100% 100% 100% 16 LNTF15MAY110.00PE 46.95 56000 28.05 56000 100% 100% 100% 100% 17 PTCI15MAY50.00CEW1 23.95 92000 13.10 92000 100% 100% 100% 100% 18 SAIL15MAY95.00PE 30.25 72000 17.50 72000 100% 100% 100% 100% 19 TATP15JUN50.00CEW1 27.35 20000 14.85 20000 100% 100% 100% 100% 20 TATP15MAY100.00PEW1 24.60 28000 13.90 28000 100% 100% 100% 100% 21 TGBL15MAY180.00PEW1 37.75 20000 21.75 20000 100% 100% 100% 100% 22 UCOB15JUN85.00PEW1 22.20 52000 12.60 52000 100% 50% 100% 57%
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Source: SecMarx — sebi:Order/KS/AS/2020-21/10123. 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.