sebi:Order/SS/RK/2023-24/28342-28349
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Facts / Headnote
Penalties imposed on all eight Noticees for failure to disclose share sale transactions under PIT and SAST Regulations
Provisions invoked
- s. 15A
- s. 15
- s. 15J
- s. 28A
Regulations
- Reg. 29(2)
- Reg. 7(2)
- Reg. 31(1)
Parties
- Vikas Garg (Noticee 1)
- Vivek Garg (Noticee 2)
- Usha Garg (Noticee 3)
- Jai Kumar Garg (Noticee 4)
- Vikas Multicorp Limited / Vikas Lifecare Limited (Noticee 5)
- Vikas Garg HUF (Noticee 6)
- Jai Kumar Garg and Sons HUF (Noticee 7)
- Nand Kishore Garg HUF (Noticee 8)
Holding
Noticee Nos. 1-7 violated Regulation 7(2) of PIT Regulations by failing to disclose share sale transactions exceeding Rs. 10 lakhs in value, and Noticee Nos. 1-8 violated Regulation 29(2) read with 29(3) of SAST Regulations by failing to disclose sale transactions resulting in a change of more than two percent in shareholding. Penalties of Rs. 2,00,000 each were imposed on Noticees 1-7 and Rs. 1,00,000 on Noticee 8 under Section 15A(b) of the SEBI Act, 1992.
Full text
Page 2 of 22 was conducted to ascertain whether there was any violation of the provisions of SEBI (Prohibition of Insider Trading) Regulation, 2015 (hereinafter referred as “PIT Regulations” ) and SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011(hereinafter referred as “SAST Regulations”) by certain entities for the period from March 01, 2021 to October 12, 2021 (hereinafter referred to as “Investigation period/IP”)
Page 3 of 22 SHOW CAUSE NOTICE, REPLY AND PERSONAL HEARING 4. A common Show Cause Notice dated June 14, 2023 (hereinafter referred to as SCN) was issued to the Noticees in terms of Section 15-I of the SEBI Act, 1992 read with Rule 4 of the Adjudication Rules to show cause as to why an inquiry should not be held against them and why penalty, if any, under Section 15A(b) of the SEBI Act, 1992 be not imposed upon the Noticees.The said SCN was issued to the Noticees via Registered Post with Acknowledgement due and also through digitally signed email dated June 14, 2023.The proof of service is on record.
Page 4 of 22 11, 2023 July 20, 2023 3 Usha Garg Y July 19, 2023 June 30, 2023, July 06, 2023 and July 11, 2023 EMAIL July 10, 2023, July 14, 2023 and July 20, 2023
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Source: SecMarx — sebi:Order/SS/RK/2023-24/28342-28349. 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.