sebi:Order/PM/GD/2022-23/16720-16739

SEBI · SEBI · 2017-01-13 · Prasanta Mahapatra, Adjudicating Officer

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Facts / Headnote

Penalties imposed on Noticees 1, 6, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20; market access restrictions imposed on certain Noticees; proceedings against Noticees 2, 3, 4, 5, 7, 8, 9 and 19 disposed off.

Provisions invoked

• s. 11B
• s. 11
• s. 15
• s. 11(1)
• s. 12A
• s. 15H
• s. 15I
• s. 15J
• s. 11C
• s. 15F
• s. 152(2)

Regulations

• Reg. 3
• Reg. 4(1)
• Reg. 3(a)
• Reg. 3(c)

Holding

The Adjudicating Officer held that Noticees 1 to 20 violated regulations 3(a),(b),(c),(d) and 4(1), 4(2)(a) and 4(2)(e) of the PFUTP Regulations read with section 12A(a), (b) and (c) of the SEBI Act, and imposed monetary penalties under section 15HA of the SEBI Act on certain Noticees along with market access restrictions.

Full text

Adjudication Order in the matter of Global Securities Limited Page 2 of 64 11. Pankaj Jayantilal Dave AEPPD0118P 12. Mahadev Zilu Gawade ALBPG9116H

Adjudication Order in the matter of Global Securities Limited Page 3 of 64 referred to as the ‘PFUTP Regulations, 2003’) by the Noticees in the scrip of Global Securities Limited (hereinafter referred to as ‘the Company/ GSL’). The period of investigation in the matter was from March 16, 2012 to April 30, 2014, (hereinafter referred to as ‘investigation period’). It is observed that the trading in the scrip of GSL was suspended by BSE on April 17, 2000 for non-compliance with Clause 16 (provided shorter notice for Book Closure / Record Date) of Listing Agreement and was again suspended on May 02, 2000 for non-payment of Annual listing fees for the period FY 1997-98 to FY 2000-01. Trading in the scrip of GSL resumed on July 30, 2010 after BSE revoked suspension of trading in the scrip. Trading in the scrip has been suspended again w.e.f January 06, 2015 for surveillance measures.

Adjudication Order in the matter of Global Securities Limited Page 4 of 64 4(2)(a) and 4(2)(e) of PFUTP Regulations, 2003. The allegations in the SCN are as follows: a. SEBI initiated an investigation to ascertain the violation, if any, of the provisions of Securities and Exchange Board of India, Act 1992 (hereinafter referred to as the ‘SEBI Act’) and SEBI (Prohibition of Fraudulent and Unfair Trade Practices Relating to Securities Market) Regulations, 2003 (hereinafter referred to as the ‘PFUTP Regulations, 2003’) by certain persons/entities, including the Noticees in the scrip of Global Securities Limited (hereinafter referred to as ‘the Company/ GSL’). The period of investigation in the matter was from March 16, 2012 to April 30, 2014, (hereinafter referred to as ‘investigation period’). b. It is observed that the trading in the scrip of GSL was suspended by BSE on April 17, 2000 for non-compliance with Clause 16 (provided shorter notice for Book Closure / Record Date) of Listing Agreement and was again suspended on May 02, 2000 for non-payment of Annual listing fees for the period FY 1997- 98 to FY 2000-01. Trading in the scrip of GSL resumed on July 30, 2010 after BSE revoked suspension of trading in the scrip. Trading in the scrip has been suspended again w.e.f. January 06, 2015 for surveillance measures. Details of the management (Directors) of GSL during the investigation period were as follows:

Source: SecMarx — sebi:Order/PM/GD/2022-23/16720-16739. 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.