sebi:Order/VR/SS/2022-23/16018

SEBI · SEBI · 2018-04-05 · Venkateswaran Ramakrishnan, Adjudicating Officer

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Facts / Headnote

Penalty of Rs 5,00,000 imposed under Section 15HA of the SEBI Act for violation of PFUTP Regulations

Provisions invoked

• s. 15
• s. 19
• s. 15H
• s. 15J
• s. 28A
• s. 24

Regulations

• Reg. 3
• Reg. 2(1)(c)
• Reg. 2(1)
• Reg. 4(2)(a)
• Reg. 3(a)
• Reg. 2(1)(c)(8)

Parties

• Vineeta Shah

Holding

The Noticee violated Regulations 3(a), 3(b), 3(c), 3(d), 4(1) and 4(2)(a) of the PFUTP Regulations by executing non-genuine reversal trades in illiquid stock options. A monetary penalty of Rs 5,00,000 under Section 15HA of the SEBI Act was imposed on Vineeta Shah.

Full text

2 Adjudication Order in respect of Vineeta Shah in the matter of Dealing in Illiquid Stock Options at BSE Ltd. reversal of buy and sell positions by the clients and counterparties in a contract. Further, out of 21,652 entities that had traded in stock options contracts in the equity derivatives segment of BSE during the investigation period, 14,720 entities were involved in executing such reversal trades/non-genuine trades.

3 Adjudication Order in respect of Vineeta Shah in the matter of Dealing in Illiquid Stock Options at BSE Ltd. India (Procedure for Holding Inquiry and Imposing Penalties) Rules, 1995 (hereinafter referred to as “SEBI Rules”) read with Section 19 of the SEBI Act, appointed the undersigned as the Adjudicating Officer vide order dated April 30, 2021, to enquire into and adjudge under Section 15HA of the SEBI Act the alleged violations by the Noticee. The proceedings of appointment were communicated to the undersigned vide Communique dated June 28, 2021 to conduct the Adjudication Proceedings in the manner specified under Rule 4 of the SEBI Rules read with sub-sections (1) and (2) of Section 15-I of the SEBI Act.

4 Adjudication Order in respect of Vineeta Shah in the matter of Dealing in Illiquid Stock Options at BSE Ltd. alleged that two trades for 76,000 units executed by the Noticee in the said contract on July 30, 2015 were non-genuine.

Source: SecMarx — sebi:Order/VR/SS/2022-23/16018. 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.