sebi:WTM/PS/29/IVD/ID-06/JULY/10
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Facts / Headnote
Restrained the noticees from buying, selling or dealing in securities and from associating in securities market for a period of 2 years
Provisions invoked
- s. 12A
- s. 81
Regulations
- Reg. 11
- Reg. 3
Parties
- Saumil Bhavnagari
- Nrupesh Shah
- Kishore Corporation
Holding
The noticees Saumil Bhavnagari, Nrupesh Shah and Kishore Corporation were found in violation of Section 12A of the SEBI Act, 1992 and the PFUTP/FUTP Regulations for aiding the offloading of unlisted shares of STEL, and were restrained from buying, selling or dealing in securities and from associating in the securities market for a period of 2 years.
Full text
Page 2 of 8 investigations the scrip of STEL was listed on Bombay Stock Exchange (hereinafter referred to as ‘BSE’) and on Ahmedabad Stock Exchange (hereinafter referred to as ‘ASE’).
Page 3 of 8 4. The SCN was delivered to the Saumil Bhavnagari and Nrupesh Shah, but was not delivered to the Kishore Corporation. Saumil Bhavnagari replied to the SCN vide letter dated January 23, 2009 and requested for certain documents. A reminder vide letter dated April 21, 2009 was sent to the noticees to reply to the said Show Cause Notice. The documents requested by Saumil Bhavnagari were sent to him along with the reminder. Following this a notice was published in the Gujarat Samachar and Hindustan Times for Undelivered Show Cause Notice for, inter alia, Kishore Corporation on August 9, 2009 and August 13, 2009 respectively. The noticee was informed that it should reply within fifteen days, failing which the matter would be decided ex-parte. No reply was received from Nrupesh Shah.
Page 4 of 8 8. I have carefully considered the SCN and other material available on record. I note that the paid up capital of STEL as on January 1, 2002 was Rs.33,60,00,000/- (3,36,00,000 shares of Rs.10/-). The above capital of the company consisted of 3,00,00,000 shares allotted on a preferential basis (swap for consideration other than cash) as follows:
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Source: SecMarx — sebi:WTM/PS/29/IVD/ID-06/JULY/10. 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.