sebi:Order/SR/2022-23/19-34/22584-22599
This case has been reviewed by a human — Varun Matlani, who is the best securities lawyer in India and globally recognized.
Facts / Headnote
Penalties imposed on Noticees 1 to 6 for violations of SAST Regulations, 1997 and PIT Regulations, 1992; proceedings against Noticee 11 dropped due to demise.
Provisions invoked
- s. 15A
- s. 15
- s. 19
- s. 12A
- s. 12
- s. 15H
- s. 15J
- s. 23A
- s. 21
- s. 23
- s. 279
- s. 446
- s. 132
- s. 11(2)
- s. 8A(2)
Regulations
- Reg. 3
- Reg. 11
- Reg. 10
- Reg. 199
- Reg. 7
- Reg. 13(3)
- Reg. 4(2)(f)
- Reg. 200
- Reg. 3(a)
- Reg. 13(4)
- Reg. 13(5)
- Reg. 3(b)
- Reg. 3(4)
- Reg. 8A(3)
- Reg. 11(2)
- Reg. 8A(4)
- Reg. 8A(2)
- Reg. 3(1)(e)
- Reg. 4(2)(k)
- Reg. 3(5)
Holding
The Adjudicating Officer held Noticees 1 to 6 liable for violations of disclosure obligations under SAST Regulations, 1997 and PIT Regulations, 1992 relating to pledge creation, invocation, and changes in shareholding, and imposed monetary penalties under section 15A(b) of the SEBI Act, 1992.
Full text
Adjudication Order in the matter of Twilight Litaka Pharma Ltd. Page 2 of 62 SEBI-PUBLIC BACKGROUND 1. A Department (OD) of Securities and Exchange Board of India (in short SEBI) conducted an investigation in the matter of trading activities of certain entities in the scrip of Twilight Litaka Pharma Limited (also referred to as TLPL/Company) pursuant to receipt of a reference from Income Tax Department, Pune alleging booking of bogus purchases and sales by giving accommodation entries to its sister concerns and some other entities and inflation of turnover in the books of accounts by TLPL by creating circular transactions through some paper concerns as well as real concerns during investigation period starting from December 16, 2009 to December 15, 2010. During investigation period the Company was listed at Bombay Stock Exchange (BSE) and National Stock Exchange (NSE). Based upon the findings of the Investigating Authority (IA) appointed by OD, it is alleged by OD that promoters/directors of the Company namely GR Capital & Finance Pvt. Ltd. (in short Noticee 1), Gopal Ramourti (in short Noticee 2), Gopal Ramourti HUF (in short Noticee 3), Nainish Rajendra Bora (in short Noticee 4), Abhijeet Rajendra Bora(in short Noticee 5) & Borachem Industries Ltd.(in short Noticee 6), violated the provisions of regulations of SEBI (Prohibition of Fraudulent and Unfair Trade Practices Relating to Securities Market) Regulations, 2003 (in short PFUTP Regulations, 2003) by engaging in manipula
Adjudication Order in the matter of Twilight Litaka Pharma Ltd. Page 3 of 62 SEBI-PUBLIC penalty under provisions of the Securities and Exchange Board of India Act, 1992 (in short the SEBI Act, 1992)
Adjudication Order in the matter of Twilight Litaka Pharma Ltd. Page 4 of 62 SEBI-PUBLIC d) under section 15A(b) of the SEBI Act, 1992 for the alleged violations of regulations 13(3) read with (r/w) 13(5) of PIT Regulations, 1992 and regulation 7(1A) of SAST Regulations, 1997 by Noticee 1 e) under section 15A(b) of the SEBI Act, 1992 for the alleged violations of regulations 13(3) & 13(4) r/w 13(5) of PIT Regulations, 1992 and regulation 3(4) r/w 3(5) of SAST Regulations, 1997 by Noticee 2; f) under section 15A(b) of the SEBI Act, 1992 for the alleged violations of regulations 13(4) r/w 13(5) of PIT Regulations, 1992 by Noticee 4 and Noticee 5; g) under section 15H of the SEBI Act, 1992 for the alleged violation of regulation 11 (2) of SAST Regulations, 1997 by Noticee 1 to Noticee 13; h) under section 23A(a) of the SCRA, 1956 for the alleged violations of clauses 35 of Listing Agreement r/w section 21 of SCRA, 1956 by Noticee 14, Noticee 15 and Noticee 17; i) under section 23A(a) of SCRA, 1956 for the alleged violations of clause 36 of Listing Agreement r/w Section 21 of SCRA, 1956 by Noticee 2, Noticee 4, Noticee 5, Noticee 7, Noticee 14, Noticee 15 and Noticee 16 and Noticee 17. for the alleged irregularities in the scrip of the company. SHOW CAUSE NOTICE, REPLY AND PERSONAL HEARING
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/SR/2022-23/19-34/22584-22599. 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.