sebi:Order/SM/AD/2021-22/15048

SEBI · SEBI · 2017-08-31 · Soma Majumder, Adjudicating Officer

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Facts / Headnote

Violations of PFUTP Regulations established against Noticee; penalty of Rs. 20,00,000 imposed on each of the Group Entities

Provisions invoked

• s. 15
• s. 19
• s. 15H
• s. 15J
• s. 15F
• s. 28A
• s. 15I(1)
• s. 420

Regulations

• Reg. 3
• Reg. 3(a)

Parties

• Dhananjay Kumar
• Amratbhai Chaturdas Patel
• Narendrabhai Shivabhai Parmar
• Sandeep Kumar Prakashbhai Prajapati
• Savan Keshavlal Prajapati

Holding

The Adjudicating Officer found that the Group Entities, including the Noticee, violated Regulations 3(a), (b), (c), (d), 4(1) and 4(2)(a) and (e) of the PFUTP Regulations by engaging in synchronized trades, manipulative First Trades, and LTP contributions to fraudulently create artificial price rise in the scrip of Kushal Tradelink Limited, and imposed a penalty of Rs. 20,00,000 on each of them.

Full text

_________________________________________________________________________ Adjudication Order in the matter of Kushal Tradelink Limited 2 of Fraudulent and Unfair Trade Practices relating to Securities Market) Regulations, 2003 (hereinafter referred to as ‘PFUTP Regulations’) by Mr. Dhananjay Kumar (hereinafter referred to as “Noticee /By Name”), Mr. Amratbhai Chaturdas Patel (referred to as “Noticee 1”), Mr. Narendrabhai Shivabhai Parmar (referred to as “Noticee 2”), Mr. Sandeep Kumar Prakashbhai Prajapati (referred to as “Noticee 3”) and Mr. Savan Keshavlal Prajapati (referred to as “Noticee 4” ) (Noticees 1 to 4 hereinafter collectively referred to as “connected entities”) (Noticee along with connected entities is collectively referred to as “Group Entities”).

_________________________________________________________________________ Adjudication Order in the matter of Kushal Tradelink Limited 3 Regulations and imposed a penalty of Rs. 20,00,000 ( Rupees Twenty Lakh only) on each of them.

_________________________________________________________________________ Adjudication Order in the matter of Kushal Tradelink Limited 4 Section 19 of SEBI Act read with Section 15I(1) and Rule 3 of Adjudication Rules to inquire into and adjudge under the provisions of Section 15HA of SEBI Act, the alleged violation of provisions of Regulations 3(a), 3(b), 3(c), 3(d), 4(1), 4(2)(a), (e) and (g) of PFUTP Regulations by Noticee. SHOW CAUSE NOTICE, REPLY AND PERSONAL HEARING

Source: SecMarx — sebi:Order/SM/AD/2021-22/15048. 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.