sebi:WTM/GA/31/IVD/10/07
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Facts / Headnote
Restrained Shonkh Technologies International Ltd., Padmini Technologies Ltd., Shri Vivek Nagpal and 23 other noticees from accessing the securities market for a period of five years and prohibited them from buying, selling or dealing in securities either directly or indirectly for a period of five years.
Provisions invoked
- s. 11
- s. 11B
Regulations
- Reg. 4
- Reg. 11
- Reg. 4(a)
- Reg. 4(b)
- Reg. 200
- Reg. 2
Holding
SEBI found the noticees created artificial trading and price manipulation in Shonkh Technologies International Ltd. and facilitated Ketan Parekh entities, violating Regulation 4 of the FUTP Regulations, and restrained them from accessing and dealing in the securities market for five years.
Full text
Page 2 of 50 1.0 BACKGROUND. 1.1 Brief facts giving rise to the present proceedings so far as they are relevant, are stated herein under. Securities and Exchange Board of India (hereinafter referred to as SEBI) noticed unusual price movement in the shares of Shonkh Technologies International Ltd. (hereinafter referred to as STIL) which was listed at the Bombay Stock Exchange Ltd. (for short BSE) and Delhi Stock Exchange Association Ltd. (for short DSE). The shares of STIL were listed at DSE on August 11, 2000 (allowed to trade from August 16, 2000) at Rs.300/-, when its price at BSE on commencement of trading was Rs.70/- on August 09, 2000. The share price of STIL had witnessed a sharp increase both at BSE and DSE and the same reached nearly Rs.460/- at DSE by September 27, 2000.
Page 3 of 50 Period of Investigation Price variation August 9, 2000 to September 28, 2000 Rs. 70/- to Rs. 445/- September 29, 2000 to March 31, 2001 Rs. 440/- to Rs. 265/- and further to Rs. 63/-
Page 4 of 50 Shri Mukesh Malhotra and Ms Simmy Gupta had transacted in the shares of STIL during the first period of investigation and created artificial and misleading appearance of trading in the said scrip and thereby artificially raised the price of the said scrip.
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Source: SecMarx — sebi:WTM/GA/31/IVD/10/07. 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.