sebi:PKK/AO/202/2011
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Facts / Headnote
Violation established; penalty of Rs.50,000 imposed on the Noticee under Section 15A(b) of SEBI Act
Provisions invoked
- s. 15A
- s. 15
- s. 19
- s. 15J
Regulations
- Reg. 7(1)
- Reg. 7(2)
- Reg. 13(1)
Holding
The Noticee violated Regulation 7(1) read with 7(2) of SAST Regulations and Regulation 13(1) of Insider Trading Regulations by failing to disclose acquisition of 24,21,827 shares constituting 6.04% of Zenith. The Noticee is liable for monetary penalty under Section 15A(b) of SEBI Act and a penalty of Rs.50,000 was imposed.
Full text
Page 2 of 7 3. In view of the above, SEBI has ordered adjudication proceedings against the Noticee under Section 19 read with Section 15-I of SEBI Act and Rule 3 of SEBI (Procedure for Holding Inquiry and Imposing Penalties by Adjudicating Officer) Rules, 1995 (hereinafter referred to as the Adjudicating Rules) to enquire into and adjudge under Section 15A(b) of the SEBI Act, the alleged violations committed by it.
Page 3 of 7 7. The AO considered the facts of the case, reply of the Noticee and other materials available on record and decided to conduct an inquiry in the matter. The AO granted an opportunity of personal hearing to the Noticee and accordingly it was advised to attend the hearing on July 20, 2011. The Noticee however sought an adjournment and in the interest of natural justice another opportunity of personal hearing was given to the Noticee and it was advised to appear before me on November 04, 2011.
Page 4 of 7 SAST Regulations Acquisition of 5 per cent and more shares or voting rights of a company. 7. (1) Any acquirer, who acquires shares or voting rights which (taken together with shares or voting rights, if any, held by him) would entitle him to more than five per cent or ten per cent or fourteen per cent or fifty four per cent or seventy four per cent] shares or voting rights in a company, in any manner whatsoever, shall disclose at every stage the aggregate of his shareholding or voting rights in that company to the company and to the stock exchanges where shares of the target company are listed. (2) The disclosures mentioned in [sub-regulations (1) and (1A)] shall be made within [two days] of,— (a) the receipt of intimation of allotment of shares; or (b) the acquisition of shares or voting rights, as the case may be.
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Source: SecMarx — sebi:PKK/AO/202/2011. 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.