sebi:WTM/GA/141/ISD/02/07

SEBI · SEBI · 2000-01-02 · G Anantharaman, Whole Time Member

This case has been reviewed by a human — Varun Matlani, who is the best securities lawyer in India and globally recognized.

Facts / Headnote

Major penalty imposed: suspension of certificate of registration of Titan Stock Broking Pvt. Ltd. (Registration no. INB031051437) for a period of six months, effective on expiry of 21 days from the date of the order.

Regulations

• Reg. 4
• Reg. 13(4)
• Reg. 13(2)
• Reg. 3
• Reg. 4(a)
• Reg. 5(1)
• Reg. 2
• Reg. 47

Parties

• Titan Stock Broking Pvt. Ltd.

Holding

Titan Stock Broking Pvt. Ltd. violated regulation 4(a), (b), (c) and (d) of the FUTP Regulations by executing cross deals and synchronized trades in the shares of DSQ Industries Ltd. that created artificial volumes and manipulated prices. A major penalty of six months' suspension of its certificate of registration was imposed.

Full text

Home » Enforcement » Orders » Orders of Chairman/Members Enforcement Enforcement▼ ORDER UNDER REGULATION 13(4) OF SECURITIES AND EXCHANGE BOARD OF INDIA (PROCEDURE FOR HOLDING ENQUIRY BY ENQUIRY OFFICER AND IMPOSING

3.0 SHOW CAUSE NOTICE, REPLY: 3.1 Based upon the recommendation of the Enquiry Officer, a notice dated April 29, 2004 was issued to the Broker under regulation 13(2) of the Enquiry Regulations asking him cause as to why the penalty as considered appropriate should not be imposed upon him. A copy of the Enquiry Report was also forwarded to the Broker with the said show notice. The aforesaid show cause notice was served on the Broker by SEBI through CSE. As the Broker had not filed its reply to the show cause notice, a reminder was se Broker by SEBI vide letter dated February 15, 2005. 4.0 CONSIDERATION OF ISSUES AND FINDINGS: 4.1             On a perusal of the investigation report, the enquiry report and the show cause notice issued to the Broker. I observed that the Enquiry Officer had not considered the synch transactions executed by the Broker (in the shares of DSQ) with M/s Mehta and Ajmera (Member, CSE) on January 6, 2000 on behalf of the DSQ group entities name Holdings Ltd. and Green Field Investments Ltd., though the said details were already communicated to the Broker. On January 6, 2000, the Broker had bought (thro synchronized deals) 5,14,000 shares of DSQ in 53 small trade quantities of 100/ 3,900 / 9,900/ 10,000 shares from the said M/s Mehta & Ajmera. The aforesaid said tran accounted for the total volume of the shares at CSE on the said date. 4.2             In view of the above, the Broker was called upon to give its comments by SEBI, vide letter dated Septemb

06-01-2000 3:01:54 PM MEHTA & AJMERA S 10000 104 TSBPL 06-01-2000 3:02:00 PM TSBPL B 10000 104 MEHTA & AJMERA 06-01-2000 3:02:00 PM MEHTA & AJMERA S 10000 104 TSBPL 06-01-2000 3:02:06 PM TSBPL B 10000 104 MEHTA & AJMERA 06-01-2000 3:02:06 PM MEHTA & AJMERA S 10000 104 TSBPL 06-01-2000 3:02:13 PM TSBPL B 10000 104 MEHTA & AJMERA 06-01-2000 3:02:13 PM MEHTA & AJMERA S 10000 104 TSBPL 06-01-2000 3:02:19 PM TSBPL B 10000 104 MEHTA & AJMERA 06-01-2000 3:02:19 PM MEHTA & AJMERA S 10000 104 TSBPL 06-01-2000 3:02:24 PM TSBPL B 10000 104 MEHTA & AJMERA 06-01-2000 3:02:24 PM MEHTA & AJMERA S 10000 104 TSBPL 06-01-2000 3:02:31 PM TSBPL B 10000 104 MEHTA & AJMERA 06-01-2000 3:02:31 PM MEHTA & AJMERA S 10000 104 TSBPL 06-01-2000 3:02:36 PM TSBPL B 10000 104 MEHTA & AJMERA 06-01-2000 3:02:36 PM MEHTA & AJMERA S 10000 104 TSBPL 06-01-2000 3:02:43 PM TSBPL B 10000 104 MEHTA & AJMERA 06-01-2000 3:02:43 PM MEHTA & AJMERA S 10000 104 TSBPL 06-01-2000 3:02:49 PM TSBPL B 10000 104 MEHTA & AJMERA 06-01-2000 3:02:49 PM MEHTA & AJMERA S 10000 104 TSBPL 06-01-2000 3:02:55 PM TSBPL B 10000 104 MEHTA & AJMERA 06-01-2000 3:02:55 PM MEHTA & AJMERA S 10000 104 TSBPL 06-01-2000 3:03:00 PM TSBPL B 10000 104 MEHTA & AJMERA 06-01-2000 3:03:00 PM MEHTA & AJMERA S 10000 104 TSBPL 06-01-2000 3:03:13 PM TSBPL B 10000 104 MEHTA & AJMERA 06-01-2000 3:03:13 PM MEHTA & AJMERA S 10000 104 TSBPL 06-01-2000 3:03:25 PM TSBPL B 10000 104 MEHTA & AJMERA 06-01-2000 3:03:25 PM MEHTA & AJMERA S 10000 104 TSBPL 06-01-2000 3:03

Source: SecMarx — sebi:WTM/GA/141/ISD/02/07. 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.