sebi:WTM/PS/41/IVD/ID-3/SEPT/2010
This case has been reviewed by a human — Varun Matlani, who is the best securities lawyer in India and globally recognized.
Facts / Headnote
Directions issued: (a) Panther Fincap and Management Services Ltd., Luminant Investment Pvt. Ltd., Classic Credit Ltd. and Saimangal Investrade Ltd. restrained from buying, selling or dealing in securities and from associating with securities market for fourteen years; (b) Triumph Securities Ltd., N.H. Securities Ltd. and Classic Share and Stock Broking Services Ltd. restrained for five years. No directions issued against Kensington, European, Wakefield and Brentfield as they are no longer active in Indian markets.
Provisions invoked
- s. 19
- s. 29
- s. 33
Regulations
- Reg. 11
- Reg. 4
- Reg. 4(b)
Parties
- Panther Fincap and Management Services Ltd.
- Classic Credit Ltd.
- Saimangal Investrade Ltd.
- Luminant Investments Pvt. Ltd.
- Kensington Investments Ltd.
- European Investments Ltd.
- Wakefield Holdings Ltd.
- Brentfield Holdings Ltd.
- Triumph Securities Ltd.
- N.H. Securities Ltd.
- Classic Share and Stock Broking Services Ltd.
Holding
SEBI held that Panther, Classic, Saimangal, Luminant, Triumph Securities, N.H. Securities and Classic Share and Stock Broking Services engaged in synchronized trades, fictitious trades, and financing arrangements that created artificial volume and price in the scrips of Mascon and DSQ, in violation of Regulations 4(b), (c) and (d) of the PFUTP Regulations, and restrained them from the securities market for fourteen and five years respectively.
Full text
Page 2 of 21 2. Investigation in the scrip of Mascon revealed that it was a closely held company and prior to December, 2000, the scrip was highly illiquid. The closing price of the scrip as on December 04, 2000 was `483.35 which came down to `84 as on March 30, 2001. A sudden surge in the volumes of Mascon was also noticed during December, 2000 to March, 2001, largely on account of the off-loading of substantial number of shares by promoter group company of Mascon namely Mascon Information Technologies Ltd. and CSI Technologies Ltd. to various entities related/ connected/ associated to Ketan Parekh namely Panther Investrade Ltd., Panther Fincap and Management Services Ltd. (hereinafter referred to as ‘Panther’), Classic Credit Ltd. (hereinafter referred to as ‘Classic’), Saimangal Invest Trade Ltd. (hereinafter referred to as ‘Saimangal’), Luminant Investments Pvt. Ltd. (hereinafter referred to as ‘Luminant’) and Overseas Corporate Bodies (hereinafter referred to as OCB’s) namely, Kensington Investments Ltd. (hereinafter referred to as ‘Kensington’), European Investments Ltd. (hereinafter referred to as ‘European’), Wakefield Holdings Ltd. (hereinafter referred to as ‘Wakefield’) and Brentfield Holdings Ltd. (hereinafter referred to as ‘Brentfield’).
Page 3 of 21 Table-A Sr. No. Name No. of shares %age of expanded paid up capital 1. Deutsche Bank Custodial Ltd. (FII1) 22,00,000 9.77%
Page 4 of 21 variation was noticed as the price of the scrip had touched a high of `246 as on December 13, 2000 and a low of `58.50 as on October 19, 2000. The volumes traded touched a high of 66,69,885 shares on January 04, 2001 and a low of 1,35,030 shares as on September 27, 2000.
You have read the preview. Create a free account to read the full order, track this party, and analyse it in Ontology.
Free accounts include 10 searches/day with full order access.
Source: SecMarx — sebi:WTM/PS/41/IVD/ID-3/SEPT/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.