sebi:SO/PM/GD/2021-22/6493
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Facts / Headnote
Adjudication proceedings initiated vide SCN dated April 16, 2021 disposed of in terms of Section 15JB of the SEBI Act read with regulation 23(1) of the Settlement Regulations on the basis of settlement terms
Provisions invoked
- s. 15
- s. 15J
- s. 15H
Regulations
- Reg. 9(f)
- Reg. 4(1)
- Reg. 25
- Reg. 28
- Reg. 3(a)
- Reg. 23(1)
- Reg. 25(i)
Parties
- IIFL Securities Limited
Holding
The instant adjudication proceedings initiated against IIFL Securities Limited vide SCN dated April 16, 2021 are disposed of in terms of Section 15JB of the SEBI Act read with regulation 23(1) of the Settlement Regulations on the basis of settlement terms upon payment of Rs. 2,21,92,125.
Full text
Settlement Order in respect of IIFL Securities Limited in the matter of Alkem Laboratories Ltd. Page 2 of 4 referred to as Noticee /IIFL Securities) registered with SEBI in the capacity of stock brokers having registration number INZ000164132 (collectively known as Noticees) have knowingly manipulated the reference price of Alkem for block deal during afternoon window i.e. VWAP price for the period 13:45 to 14:00 hrs on August 22, 2019 and thereby violated sections 12A(a), (b), (c) of the SEBI Act, 1992 and regulations 3(a),(b),(c),(d) and regulations 4(1) and 4(2)(e) of SEBI (Prohibition of Fraudulent and Unfair Trade Practices Relating to Securities Market Regulations), 2003 (hereinafter referred to as PFUTP Regulations, 2003) and clauses A(1), A(2) A(3) & A(4) of Code of Conduct prescribed under Schedule II read with (r/w) regulation 9(f) of SEBI (Stock Brokers) Regulations, 1992 (hereinafter referred to as Stock Brokers Regulations, 1992). Accordingly, SEBI initiated adjudication proceedings against the Noticees for the aforesaid alleged violation of PFUTP Regulations, 2003 and Stock Brokers Regulations, 1992.
Settlement Order in respect of IIFL Securities Limited in the matter of Alkem Laboratories Ltd. Page 3 of 4 Act, 1992, for the alleged violations of sections 12A(a), (b), (c) of the SEBI Act, 1992 and regulations 3(a),(b),(c),(d) and regulations 4(1) and 4(2)(e) of PFUTP Violations, 2003 and clauses A(1), A(2) A(3) & A(4) of Code of Conduct prescribed under Schedule II read with (r/w) regulation 9(f) of Stock Brokers Regulations, 1992. It is alleged in the SCN that the noticees in order to meet their commitment given to both the seller and the buyers, knowingly traded between 13:45:00 to 14:00:00 hrs and contributed 25.86% & 18.89% to negative LTP and 75.38% & 53.74% to NLP on BSE and NSE respectively and indulged in malpractice and influenced and manipulated the VWAP price i.e. the reference price for block deal during afternoon window.
Settlement Order in respect of IIFL Securities Limited in the matter of Alkem Laboratories Ltd. Page 4 of 4 February 15, 2022 informed that the settlement amount of Rs. 2,21,92,125/- by way of online transfer was remitted on February 11, 2022.
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Source: SecMarx — sebi:SO/PM/GD/2021-22/6493. 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.