sebi:WTM//PS/24/IVD/ID-1/JUL/2010
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Facts / Headnote
Noticee restrained from buying, selling or dealing in securities market whatsoever or accessing the securities market, directly or indirectly, for a period of two years from the date of the order.
Provisions invoked
- s. 11
Regulations
- Reg. 11
- Reg. 4(a)
- Reg. 4(1)
Parties
- Mr. P.B. Chandrashekhar
Holding
The noticee violated Regulations 4(a), (b), (c) and (d) of the PFUTP Regulations read with Regulations 4(1), 4(2)(a), (b), (e) and (g) by indulging in circular trading in the scrip of GGAGL. The noticee was restrained from buying, selling or dealing in or accessing the securities market directly or indirectly for two years.
Full text
Page 2 of 8 the scrip. The total volume generated by way of such circular trades was 4,28,749 shares i.e. about 19% of the total quantity traded during the period under investigation. Its contribution was between 13 and 34% of day-wise volume. The price of the scrip increased from Rs.23.60 to Rs.98.25 during the period of circular trading i.e. August 1, 2002 to September 30, 2002. Inter alia it was found that Mr. P.B. Chandrashekhar (hereinafter referred to as ‘noticee’) while trading through broker Action Financial Services Ltd. (hereinafter referred to as ‘AFSL’), had created artificial volumes in the scrip of GGAGL, by trading in circular manner.
Page 3 of 8 granted to the noticee on September 02, 2009. This time again the hearing notice returned undelivered. 6. I note that SEBI had issued a press notification as a mode of substituted service on the noticee, with an advice that in absence of any reply, the matter would be proceeded ex-parte. I note that the stipulated period mentioned in the publication has expired. I have seen the service report and find that the principles of natural justice have been duly complied with, and it appears that the noticee is not interested in submitting his stand in the present proceedings. In view of this, I am compelled to proceed with the matter ex- parte, on the basis of material available on record, as against the noticee, having complied with the principles of natural justice.
Page 4 of 8 client remained nil. This group consisting of noticee had traded in the scrip of GGAGL on 40 days. The trade quantities of the noticee in the scrip during the period of investigation were as under (Table - A): Table- A S.No. Broker Name and Code Client Name Bought Sold
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Source: SecMarx — sebi:WTM//PS/24/IVD/ID-1/JUL/2010. 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.