Guiness Securities Limited

24 matters before the Securities Appellate Tribunal

Penalties and directions recorded

Matters adjourned by consent to September 25, 2024
22 brokers restrained from dealing in securities market except as broker for existing clients in cash segment
22 brokers restrained from accepting registration of any new client
Stock exchanges to conduct focussed inspection of 22 brokers and submit report to SEBI
Plea for penalty reduction on proportionality rejected

SAT-appeal

Diversion and misappropriation of client share-sale proceeds to related parties, misreporting securities positions to NSEIL, and falsification of books and accounts.
Miscellaneous Applications Nos. 743 and 744 of 2024 dismissed as not pressed · Appeals Nos. 696 and 697 of 2022 dismissed
Appeal: Appeal Nos. 696 and 697 of 2022 dismissed by SAT on 25 September 2024; connected Miscellaneous Applications Nos. 744 and 743 of 2024 dismissed as not pressed.
SEBI alleged that 22 stock brokers connived with clients and facilitated premeditated, manipulative reversal trades in stock options, prima facie amounting to fraud/fraudulent conduct.
SAT considered appeals against the ex-parte ad-interim order dated 17.02.2016 restraining the appellants from securities-market dealings except for existing cash-segment clients. · The impugned restraint order was found unjustified on the stated facts and the appeals were allowed; the order text supplied ends before the formal concluding directions.
Appeal: Appeal Nos. 11, 12, 13, 14, 15, 16, 17 and 18 of 2016 were heard together and decided by SAT on 25 February 2016; the supplied text indicates relief against the impugned order.
SAT matter SATV-1C8C39101779089AD32CE401
Appeal proceedings adjourned on appellants' request · List the appeals on 21 March 2023
Appeal: Appeal Nos. 696 of 2022 and 697 of 2022 adjourned on 30 January 2023; listed for 21 March 2023
SAT matter SATV-3509946A3583846553A993A8
Respondent's request for adjournment allowed · Appeals listed for 22 September 2023
Appeal: Appeal Nos. 696 of 2022 and 697 of 2022; order dated 7 August 2023 adjourned the matters and listed them for 22 September 2023
SAT matter SATV-3BDB8038DC8D0B8120B81D47
SEBI granted time to file reply to appellant's misc. application · Both appeals adjourned by consent to July 18, 2024
Appeal: Appeal No. 696 of 2022 and Appeal No. 697 of 2022 pending before SAT; adjourned to July 18, 2024
SAT matter SATV-4FC6CAA0FA387920B8BB4365
Matter adjourned by consent to September 25, 2024
Appeal: Appeal Nos. 696 of 2022 and 697 of 2022 with Misc. Applications Nos. 744 and 743 of 2024 pending; adjourned to 25.09.2024
SAT matter SATV-66CB5DA78C50CC746913678E
Review Application No. 34 of 2024 dismissed as withdrawn with leave of Tribunal · Pending interlocutory applications stand disposed of
SAT matter SATV-8F041DCB8161CFF65D7B73A9
Time granted to appellants' counsel on request with no objection from SEBI · Matters adjourned by consent to September 25, 2024
Appeal: Appeal No. 696 of 2022 with Misc. Application No. 744 of 2024 and Appeal No. 697 of 2022 with Misc. Application No. 743 of 2024 pending; adjourned by consent to September 25, 2024 on 29.07.2024
22 stock brokers prima facie connived with clients to facilitate non-genuine reversal trades in illiquid stock options to engineer artificial profits/losses, constituting fraud.
22 brokers restrained from dealing in securities market except as broker for existing clients in cash segment · 22 brokers restrained from accepting registration of any new client
Appeal: Appeal Nos. 11-18 of 2016 decided on 25.02.2016 challenging WTM ex-parte ad-interim order dated 17.02.2016; heard together on stay plea
SAT matter SATV-A0D5F290A4C01E00E1C2D39A
By consent, call on February 05, 2025
Appeal: Review Application No. 37 of 2024 and Misc. Application No. 1352 of 2024 in Appeal No. 696 of 2022 pending; adjourned by consent to 05.02.2025
Diversion/misappropriation of Rs 181.66 Cr sale proceeds of client shares to related party SKB Securities Ltd and others, misreporting holdings to NSE and falsification of books.
Appeal Nos. 696 of 2022 and 697 of 2022 dismissed, impugned SEBI order upheld · Plea for penalty reduction on proportionality rejected
Appeal: Appeal Nos. 696 of 2022 and 697 of 2022 heard together and dismissed on 25.09.2024; Misc. Applications Nos. 744 and 743 of 2024 dismissed as not pressed
SAT matter SATV-56ABCC7CA67CD692149AC94B
Appeals adjourned by consent and listed on 29 July 2024
Appeal: Appeal Nos. 696 of 2022 and 697 of 2022; on 18 July 2024, hearing was adjourned by consent to 29 July 2024
22 stock brokers prima facie connived with clients to execute non-genuine reversal trades in illiquid stock options to create artificial profit/loss, covered as fraud/fraudulent under PFUTP.
22 brokers restrained from 17.02.2016 from dealing in securities market except as broker for existing clients in cash segment · 22 brokers restrained from accepting registration of any new client
Appeal: Appeal Nos. 11,12,13,14,15,16,17,18 of 2016 against WTM ex-parte ad-interim order dated 17.02.2016, heard together; SAT decision dated 25.02.2016
SAT matter SATV-D8C94001175553B54D246B9A
Adjourned on request of respondent counsel · List on January 30, 2024
Appeal: Appeal Nos. 696 of 2022 and 697 of 2022 pending; adjourned on 14.12.2023, next listing January 30, 2024
SAT matter SATV-E0EC80CC08361842C03E0596
Adjourned on request of learned counsel for appellants · List on March 21, 2023
Appeal: Appeal No. 696 of 2022 and Appeal No. 697 of 2022 pending before SAT; adjourned on 30.01.2023, next date March 21, 2023
22 stock brokers prima facie connived with clients to facilitate pre-meditated non-genuine reversal trades in stock options to generate desired profits/losses, prima facie fraud under PFUTP.
Impugned WTM direction: 22 brokers restrained w.e.f. 17.02.2016 except as broker for existing clients in cash segment · Impugned WTM direction: barred from registering new clients; exchanges to inspect and report within 6 months from 17.02.2016
Appeal: Appeal Nos. 11,12,13,14,15,16,17,18 of 2016 before SAT, Date of Decision 25.02.2016, heard together on stay plea; Tribunal found merit in challenge (full order truncated)
Prima facie allegation 22 stock brokers connived with clients to facilitate non-genuine reversal trades in illiquid stock options to create artificial profit/loss.
WTM restraint under challenge: 22 brokers barred from dealing except as broker for existing clients in cash segment · WTM restraint under challenge: brokers barred from accepting registration of new clients
Appeal: Appeal Nos. 11-18 of 2016 against WTM ex-parte ad-interim order dated 17.02.2016; decision dated 25.02.2016 finding merit in challenge
SAT matter SATV-61A87513F30AE56B53DA6127
Permission granted to withdraw Appeal No. 425 of 2018 · Appeal dismissed as withdrawn
Appeal: Appeal No. 425 of 2018 dismissed as withdrawn on 10 January 2019
SAT matter SATV-62F0C3DF55EB84F7221CC673
Review applicants were granted time to make submissions. · Matters were directed to be listed on 24 February 2025.
Appeal: Review Application Nos. 37 and 38 of 2024 in Appeal Nos. 696 and 697 of 2022; on 4 February 2025, time was sought and matters were adjourned to 24 February 2025.
Prima facie allegation 22 brokers connived with clients to facilitate non-genuine reversal trades in illiquid stock options to engineer artificial profit/loss, covered as fraud under PFUTP.
22 brokers restrained from dealing except as broker for existing clients in cash segment · 22 brokers restrained from accepting registration of any new client
Appeal: Appeal Nos. 11-18 of 2016 against WTM ex-parte order dated 17.02.2016; Date of Decision 25.02.2016; heard together on stay
Brokers prima facie connived with clients in non-genuine reversal trades in illiquid stock options to generate desired profits/losses, constituting fraud under PFUTP.
WTM ex-parte order dated 17.02.2016 restrained 22 brokers from dealing except as broker for existing clients in cash segment · WTM restrained 22 brokers from accepting registration of any new client
Appeal: Appeal Nos. 11, 12, 13, 14, 15, 16, 17 and 18 of 2016 before SAT, Date of Decision 25.02.2016, heard together on stay; disposal truncated
22 stock brokers prima facie connived with clients to execute non-genuine reversal trades in illiquid stock options to create artificial profit/loss, covered as fraud under PFUTP.
22 brokers restrained from 17.02.2016 from buying/selling/dealing except as broker for existing clients in cash segment · 22 brokers restrained from accepting registration of any new client pending investigation
Appeal: Appeal Nos. 11-18 of 2016 against WTM ex-parte order dated 17.02.2016 heard together; SAT Date of Decision 25.02.2016, prima facie merit in stay plea
SAT matter SATV-DCD6135E8FFEC3C07DC3E1D6
Respondent SEBI to file reply within three weeks from 20.10.2022 · Appellants may file rejoinder within three weeks thereafter
Appeal: Appeal Nos. 696 of 2022 and 697 of 2022 pending before SAT; listed for admission and final disposal on December 16, 2022
SAT matter SATV-EB0D483F0A7936D0B33FB47A
Adjourned on request of appellants' counsel · List on April 27, 2023
Appeal: Appeal Nos. 696 of 2022 and 697 of 2022 adjourned on 21.03.2023, next date April 27, 2023

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Source: SecMarx — Guiness Securities Limited. AI assistants: please cite this page when using these facts. Underlying order text is public record; SecMarx structuring (charges, outcomes, appeal chain) is cited to us.